KARACHI: Sindh High Court (SHC) has sought comments from law officer of the tax authorities on a petition filed by M/s AS Paper Products (Private ) Limited against suspension of its sales tax registration.
A two-member bench, comprising Justice Munib Akhter and Justice Abdul Malik Gaddi, heard the petition.
During the hearing, the counsel for the respondents department filed power of attorney and requested the court to allow some time to take instructions. On his request, the court adjourned the hearing till 10th May 2016.
Earlier, the petitioner’s counsel stated that petitioner is a private limited company and pays all liabilities regularly, however the commissioner Inland Revenue suspended the sales tax registration of the petitioner on 11th January 2016.
According to the petitioner, the suspension of registration causing severe business injury and damage which is being used as a tool to coerce the petitioner for deposit un-adjudicated amount of tax without adopting process law provided under section 11 of the sales act, 1990, which is against the principles of natural justice.
Citing chairman FBR, commissioner Inland Revenue, Zone-IV, Regional Tax Office-II as respondents, the petitioner pleaded the SHC to declare that act of the respondents as illegal, malafide and unjustified. The court was requested to direct the respondents to restore the sales tax registration of the petitioner.
