LAHORE: The Lahore High Court (LHC) has suspended Rs 425 million tax recovery notices served on Jahangir Tareen Sugar Mills.
Justice Shams Mehmood Mirza reserved the verdict in the case of Jahangir Tareen sugar mills. Justice Shams Mehmood Mirza heard the case in which counsel of appellant on behalf of the administration of sugar mills argued that the federal board of revenue (FBR) sent Rs 425 million tax recovery notices for the year 2011.
He further said as Jahangir Tareen is a central leader of opposition political party Pakistan Tehreek-e-Insaf therefore he is being victimised. He said the Jahangir Tareen sugar mills paid all the tax liabilities for the year 2011.
The counsel said the income tax commissioner Lahore sent a notice but according to the jurisdiction only commissioner of Multan region can serve a notice on his client.
On the other hand, the counsel from the federal board of revenue (FBR) said the law has been amended therefore Income tax commissioner from Lahore zone can send notices for tax recovery.
After hearing the arguments, the court declared the earlier decision as null and void.
The court has remarked in its decision that the regional tax office (RTO) Lahore is not authorised to send income tax notice to those sugar mills who fall in the region of Multan besides this the Regional Tax Office Multan is working regularly. The regional commissioner from Lahore zone cannot send notice to the other region’s industry, the court maintained. So the tax notices have been suspended.
