KARACHI: The Sindh High Court (SHC) has directed the collector appraisment to release the goods/plant and machinery through accepting the bank guarantee of the amount of withholding tax involved in the matter.
A two-member bench, headed by Justice Irfan Sadat Khan, was hearing a petition filed by M/s Tri Star Industries (Private) Limited, seeking exemption from withholding tax on import of its plant and machinery. The court also directed the chief commissioner to decide the revision application of the petitioner within shortest possible time.
Earlier, the petitioner’s counsel stated that petitioner’s company is engaged in the business of manufacturing of embroidered fabric and is assessed to tax at Regional Tax Office. According to the petitioner, it filed an application before officials of the customs authorities and requested for exemption on import of plant and machinery on the basis of sub-clause (v) of the SRO 947 (1)/2008 on 5th September 2008. However, respondents rejected the application of the petitioner without merit.
Citing commissioner Inland Revenue, Zone – III, RTO, I, chief commissioner Inland Revenue, RTO, I, collector appraisment as respondents, the petitioner pleaded the SHC to direct the respondents to exempt a the petitioner from withholding of tax on the basis of the financial accounts and computations provided which clearly make their income exempt under section (b) of Clause (v) of the SRO 947 ( 1 ) / 2008.
