KARACHI: The Sindh High Court (SHC) restored the sales tax registration of petitioner, however petitioner will not be entitled to claim any adjustment or refund till next date of hearing on a constitutional petition filed by M/s Ship Masters seeking restoration of its sales tax registration suspended by the tax authorities.
While hearing of the petition, a two-member bench, headed by Justice Aqeel Ahmed Abbasi, directed the tax department and deputy attorney general of Pakistan to file their para-wise comments on next date of hearing.
During the hearing, no one was in attendance on behalf of the respondents despite service of court notice in the office of CIR RTO-II Karachi whereas no intimation was received. Counsel for the petitioner submitted that the petitioner is facing hardships and serious financial crises in view of such illegal suspension of sales tax registration whereas no notice has ever been served on the petitioner in terms of section 21 of the Sales Tax Act-1990.
Counsel for the petitioner further contended that no penal proceedings whatsoever are pending against the petitioner in respect of his taxable activities, according to him, have come to halt on account of illegal suspension by the respondents with effect from June 13, 2013.
It has been prayed that interim relief may be granted during the hearing. Assistant attorney general requested further time to seek instructions and file comments on behalf of the respondents.
After the hearing, court adjourned the hearing for April 24, 2017 and suspended the operation of suspension of sales tax registration of the petitioner and directed the respondents to file their para-wise comments on next date of hearing.
Citing Chairman Federal Board of Revenue (FBR), Commissioner Inland Revenue Regional Tax Office-II as respondents, counsel for the petitioner pleaded with the court to restore its sales tax registration immediately.
