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IHC will hear tax reference filed by M/s PTCL challenging tax recovery claim

byNaeem Ullah Tariq
20/07/2016
in Islamabad, Latest News
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ISLAMABAD: A single bench of the Islamabad High Court (IHC) will hear a tax reference filed by M/s Pakistan Telecommunication Company Limited on Wednesday (today), challenging a tax recovery claim issued by field office of the Federal Board of Revenue (FBR).

M/s Pakistan Telecommunication Company had filed the case, seeking restrictions for the Large Taxpayers Unit, Islamabad, to recover outstanding tax amount of Rs 32,091,200. The appellant had also sought from court to nullify the LTU order carrying the claim about outstanding tax amount.

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IHC single bench comprising Justice Aamer Farooq will hear the case. The appellant had challenged an LTU order, dated February 26, 2016 before the IHC after exhausting the departmental platform for appealing disputing orders. The department had issued the order under provisions of Income Tax Ordinance, 2001.

Federal Board of Revenue (FBR), officers of LTU including commissioner Inland Revenue, Additional Commissioner Inland Revenue, Commissioner Inland Revenue (Appeals) and Appellate Tribunal Inland Revenue were made respondent in the case.

The appellant had prayed the court to direct LTU not to recover the said amount and abstain from any coercive action in this regard.

The appellant submitted before the court that the impugned order was issued under mala fide intentions and had no legal standing or authority and the court may decide on relief which it deemed appropriate in this regard. It also stated that due legal course was not followed by the department in issuing the order.

Because of departmental lethargy, the company was compelled to file the petition before the IHC in order to seek lawful relief, it stated.

The petitioner had prayed the court operation of the impugned order issued by the tax authority may kindly be suspended till the decision of appeal pending before the LTU.

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