KARACHI: The Sindh High Court (SHC) on Thursday issued notices to the Customs Department and deputy attorney general on a constitutional petition filed by M/s AI International, seeking restoration of its sales tax registration number blocked by commissioner Inland Revenue Unit-05, Zone-VI, Corporate Regional Tax Office Karachi due the alleged non-compliance of section 73 of Sales Tax Act, 1990.
During hearing of the petition, a two-member bench also directed them to file their respective para wise comments on the next date of hearing.
During the hearing, counsel for the petitioner argued that petitioner is registered as importer and exporter of textile goods and doing lawful business and has never been involved in any criminal case.
The counsel submitted that on January 1, 2018, a show cause notice under section 21 (2) of Sales Tax Act, 1990 read with rule 12 of chapter-1 of Sales Tax Rules 2006 was issued to the petitioner by the Corporate Regional Tax Office whereby the sales tax registration of the petitioner was suspended merely on the ground of non-compliance of section 73 of Sales Tax Act, 1990. He argued that the petitioner had submitted a proper reply which was not considered by the respondents.
Citing Secretary Revenue Division and commissioner Inland Revenue Unit-05, Zone-VI, Corporate Regional Tax Office Karachi as respondents, petitioner pleaded the court to declare the act of the respondents as illegal, mala fide and arbitrary.
Counsel further pleaded the court to pass the interim order and direct them to restore its sales tax registration number immediately.
