| Case ID |
0aa8e792-ae39-42b8-b412-c70d58b0315a |
| Body |
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| Case Number |
I.T.A. No.291/LB of 2012 |
| Decision Date |
Jan 24, 2014 |
| Hearing Date |
|
| Decision |
The Appellate Tribunal Inland Revenue addressed the appeal filed by the taxpayer, Messrs COSLAB (PVT.) LTD., against the order dated 11-1-2012 issued by the learned CIR (A), Multan. The taxpayer, a company engaged in the manufacturing and sale of cosmetics, was deemed a 'taxpayer-in-default' for failing to deduct withholding tax on various payments. The initial appeal was dismissed by the CIR (A) due to the unsigned appeal papers, which the Tribunal found to be a curable defect. The Tribunal emphasized the importance of providing the taxpayer an opportunity to rectify the deficiencies in the memorandum of appeal. Consequently, the tribunal remanded the matter back to the CIR (A) with directions to allow the taxpayer 15 days to correct the unsigned documents. If the taxpayer failed to comply, the CIR (A) could proceed according to the law. The order of the CIR (A) was vacated, and the case was sent back for a fresh decision, ensuring that procedural fairness was upheld. |
| Summary |
This case involves the Appellate Tribunal Inland Revenue's decision regarding an appeal by Messrs COSLAB (PVT.) LTD., a private limited company engaged in cosmetics manufacturing. The taxpayer was challenged for not deducting withholding tax as mandated under the Income Tax Ordinance, 2001. The assessing authority had finalized an order treating the company as a 'taxpayer-in-default', which led to the issuance of tax and surcharges. The initial appeal to the CIR (A) was dismissed on technical grounds due to unsigned appeal documents. The Tribunal found this dismissal unjust, highlighting that the defect was curable and that the taxpayer deserved an opportunity to correct the deficiencies. By remanding the case, the Tribunal reinforced the importance of procedural fairness and compliance with the Appellate Tribunal Inland Revenue Rules, thus ensuring that taxpayers can engage fully with the appeals process. This case underscores the principles of justice in tax law and the necessity for authorities to allow corrections in procedural matters. Keywords: Appellate Tribunal, Income Tax, Taxpayer-in-default, Procedural Fairness, Withholding Tax. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
|
| Judges |
CH. ANWAAR-UL-HAQ
|
| Lawyers |
|
| Petitioners |
Messrs COSLAB (PVT.) LTD.
|
| Respondents |
C.I.R., Zone-II, R.T.O. MULTAN
|
| Citations |
2014 SLD 1507,
2014 PTD 1016,
(2014) 109 TAX 299
|
| Other Citations |
Not available
|
| Laws Involved |
Appellate Tribunal Inland Revenue Rules, 2010,
Income Tax Ordinance, 2001
|
| Sections |
15,
153,
161,
205
|