Appellate Tribunal Inland Revenue (AT-IR), Karachi, has disposed of an appeal and a miscellaneous application filed by Messrs Engro Fertilizer Ltd by ordering the Commissioner IR (Appeal-I) to allow a 30-day stay for recovery of tax on a fresh application.
According to details, M/s Engro Fertilizer Ltd had filed an appeal (49/KB/2015) under section 131(5) of Income Tax Ordinance, 2001 and a miscellaneous application (233/KB/2015) under section 45-B before the AT-IR against refusal of stay by Commissioner IR Appeal, praying for grant of an stay from tax recovery.
The Tribunal in its verdict stated that the order for refusal of stay, passed by the Commissioner IR (Appeal) dated May 13, 2005, has been vacated. Therefore, M/s Engro Fertilizer may file a fresh application for stay before the Commissioner IR (Appeal). The Tribunal ordered the Commissioner IR (Appeal) to decide fresh stay application within a week from the date of receipt of the application and shall allow 30 days stay for recovery of tax against coercive measures.
The Tribunal further directed the Commissioner IR (Appeal) to settle main appeal before the expiry of the stay order and shall also issue and serve order to the taxpayer accordingly. "Till then the tax department shall not adopt any coercive measures for the recovery of disputed tax amount," the Tribunal stated in its verdict.
"Consequently, order of refusal of stay passed by the Commissioner IR (Appeal), dated May 13, 2005 is hereby vacated. Both the miscellaneous application as well as main appeal stand disposed of," it concluded.