LAHORE: The Lahore High Court disposed of a petition filed by Shakarganj Mills Limited and directed the Commissioner Inland Revenue Lahore to decide an application and appeal of the petitioner mill within two months in accordance with law with further direction that meantime no coercive measures should be taken against the petitioner for recovery of disputed amount of additional tax.
The court also sought compliance report to be submitted before the Deputy Registrar (Judicial) of the court.
Petitioner’s counsel Ijaz Ahmad Awan contended before the court that the petitioner filed an appeal along with a stay application before the Commissioner Inland Revenue against an additional tax recovery notice issued by the Deputy Commissioner Inland Revenue.
He said the hearing of the stay application and the appeal were still pending with the respondent commissioner. He said the respondent authorities now were going to take coercive measures against the petitioner due to which fundamental rights of trade and business guaranteed under Article 18 of the Constitution will be infringed.
Awan also submitted that the respondent inadvertently, either due to clerical or arithmetical error, miscalculated amount of leviable additional tax and an application in this regard is also pending with the commissioner without any decision.
He further added that the matter pending before the respondent has not been decided and if any recovery is made before decision of the matter, the petitioner shall suffer irreparable loss and injury.
Awan, therefore, prayed the court to declare the orders in question as unconstitutional, without jurisdiction and of no legal effect.
He also prayed the court to grant stay against the recovery of alleged amount involved till determination of default surcharge by the Commissioner.
The counsel of FBR, however, objected on maintainability of the petition being premature. The court after hearing counsels at length disposed of the petition with the direction not to take coercive measures against the petitioner till decision of the matter pending with the respondent commissioner.
Copyright Business Recorder, 2022
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