| Case ID |
004ed691-4942-4357-8542-a7af1323443f |
| Body |
View case body. Login to View |
| Case Number |
F.E. No.5/K of 2010 |
| Decision Date |
Mar 31, 2011 |
| Hearing Date |
|
| Decision |
The Appellate Tribunal ruled that there was no justification for the levy of Federal Excise Duty on the appellant, MESSRS HABIB QATAR INTERNATIONAL EXCHANGE PAK (PVT.) LTD., for the period of July 1, 2006, to June 30, 2007. The Tribunal found that the services rendered by the appellant did not fall under the provisions of the Federal Excise Duty as defined at that time, particularly noting that the services were not generated in Pakistan. The First Appellate Authority's reasoning was deemed flawed, as it did not accurately reflect the nature of the transactions that originated outside Pakistan. Consequently, the Tribunal vacated the order of the First Appellate Authority and cancelled the original order, thereby accepting the appeal filed by the taxpayer. |
| Summary |
In the case of MESSRS HABIB QATAR INTERNATIONAL EXCHANGE PAK (PVT.) LTD. vs. COLLECTOR OF CUSTOMS SALES TAX AND FEDERAL EXCISE, the Appellate Tribunal addressed the issue of Federal Excise Duty (FED) levied on the appellant for services rendered during the period from July 1, 2006, to June 30, 2007. The Tribunal found that the services in question were not subject to FED as they originated outside Pakistan and were not rendered within its jurisdiction. The case highlights the importance of understanding the applicability of excise duties in relation to international transactions and the necessity for proper legal interpretation. The Tribunal's decision emphasizes that the law must be applied in accordance with the facts of each case, particularly in relation to the timing of legislative changes affecting tax obligations. This ruling is significant for similar companies operating in the international exchange sector, as it clarifies the conditions under which FED can be justifiably imposed. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
Not available
|
| Judges |
JAWAID MASOOD TAHIR BHATTI,
ZARINA N. ZAIDI
|
| Lawyers |
Not available
|
| Petitioners |
MESSRS HABIB QATAR INTERNATIONAL EXCHANGE PAK (PVT.) LTD.
|
| Respondents |
COLLECTOR OF CUSTOMS SALES TAX AND FEDERAL EXCISE (APPEAL)
|
| Citations |
2012 SLD 757,
2012 PTD 144
|
| Other Citations |
Not available
|
| Laws Involved |
Federal Excise Act, 2005
|
| Sections |
2(17),
2(23),
3(1)(d),
3(5)(c),
4,
14,
16,
19,
FirstSched,S.No.9,
R.40B
|