KARACHI: The Sindh High Court (SHC) has suspended the impugned recovery notice of income tax on a constitutional petition filed by Shahyar Manzoor Advocate, seeking de-freezing his bank accounts seized by tax authorities over income tax year 2011.
A two-member bench, headed by Justice Aqeel Ahmed Abbasi, was hearing the petition. During the hearing, both sides’ counsels argued. After their arguments, the court disposed of the petition with observation that: “The recovery notice issued on December 7, 2015 under SRO 140 of the Income Tax Ordinance 2011 by respondents in hereby set aside in respect of the petitioner for the tax year 2011, shall not be treated as final order for the reasons that the notices as well as other orders were admittedly not served upon the petitioner in accordance with the provision of section 218 of the Income Tax Ordinance, 2011.”
The court further mentioned in its order that the petitioner shell submit returns for the year 2011 within 15 days for the dated of this order which shall be processed by the respondents in accordance with law. However, after providing complete opportunity of being heard to the petitioner, such return may be filed by the petitioner keeping in view the correct address of the petitioner before the relevant tax officer having jurisdiction over the case of the petitioner.
Earlier, petitioner stated that he is a practicing lawyer enrolled to appear before SHC and paying income tax regularly, however, officials of the tax authorities issued show cause notice to the petitioner for recovery of income tax for year 2011 and pursuant of this order bank accounts of the petitioner were seized by the tax authorities illegally and arbitrarily.
Citing Chairman Federal Board of Revenue (FBR), Commissioner Inland Revenue BTB Zone-0I Regional Tax Officer, Deputy Commissioner Inland Revenue BTB Unit-II Shikarpur and Assistant Commissioner Inland Revenue BTB Unit-II Shikarpur as respondents, petitioner pleaded the court may declare that act of the respondents is illegal, mala fide and arbitrary and side aside impugned recovery notice.
