| Case ID |
0956dd1d-56c3-4102-8c06-bdb84c398502 |
| Body |
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| Case Number |
Petition No.1397 of 1980 |
| Decision Date |
Mar 21, 1989 |
| Hearing Date |
|
| Decision |
The petitioner, Sajjad Silk and Rayon Mills, challenged the orders of the respondents regarding the levy of sales tax on imported goods. The court found that the sales tax demanded was paid under protest and that the petitioner had not been given an opportunity to address the new grounds for rejection of its refund claim. The rejection of the claim was declared illegal, and the case was remanded for reconsideration. The court emphasized the need for due process and proper opportunity for the petitioner to present its case. |
| Summary |
In the case of Sajjad Silk and Rayon Mills vs. Assistant Collector of Customs, the Sindh High Court addressed the issue of sales tax exemption on imported goods. The petitioner argued that the sales tax on goods imported under a specific licence was exempt at the time of issuance. The Customs Authorities demanded sales tax when the Bill of Entry was submitted, which was paid under protest. The claim for a refund was rejected based on the argument that the imported quantity was too large for the intended industrial use. The court highlighted the lack of opportunity for the petitioner to contest this new ground of rejection and ruled that the orders were illegal. The case was remanded for reconsideration, ensuring that the petitioner would have a chance to present its arguments, thus reinforcing the principles of fair hearing and administrative justice. This case is significant for businesses dealing with customs regulations and tax exemptions, providing clarity on the rights of importers regarding sales tax claims. |
| Court |
Sindh High Court
|
| Entities Involved |
ASSISTANT COLLECTOR OF CUSTOMS,
SAJJAD SILK and RAYON MILLS
|
| Judges |
SAEEDUZZAMAN SIDDIQUI,
ABDUL RASOOL AGHA
|
| Lawyers |
Abdul Majeed Khan,
Nemo
|
| Petitioners |
SAJJAD SILK and RAYON MILLS
|
| Respondents |
ASSISTANT COLLECTOR OF CUSTOMS and others
|
| Citations |
1989 SLD 1003,
1989 MLD 1792
|
| Other Citations |
Not available
|
| Laws Involved |
Customs Act, 1969
|
| Sections |
19
|