| Case ID |
17664e24-d529-4812-b949-4c3f14b05519 |
| Body |
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| Case Number |
S.T.A. No. 2305/LB/2009 |
| Decision Date |
Dec 16, 2011 |
| Hearing Date |
Aug 04, 2011 |
| Decision |
The appeal filed by M/s. Diamond Fabrics Limited was dismissed by the Appellate Tribunal Inland Revenue as it was found to be without merit. The Tribunal upheld the decision of the lower authorities, stating that the registered person had violated Section 8(1)(b) of the Sales Tax Act, 1990. The order passed by the Collector was detailed and well-reasoned, supported by documentary evidence. The learned Authorized Representative could not successfully challenge the findings of the lower authorities. The Tribunal concluded that the provisions of the Sales Tax Refund Rules were correctly applied in rejecting the refund claim of the registered person, which amounted to Rs. 8,669,949/- for input tax incurred on local zero-rated supplies. Therefore, the appeal was dismissed, and the order-in-original was maintained. |
| Summary |
In the case of M/s. Diamond Fabrics Limited vs. Collector of Customs, the Appellate Tribunal Inland Revenue dealt with a refund claim for input tax filed by the registered person under the Sales Tax Act, 1990. The registered person sought a refund amounting to Rs. 3,310,614/- for the tax period of July 2005, along with a carry forward amount of Rs. 8,195,817/- from previous months. The Tribunal highlighted that the registered person had claimed an input tax of Rs. 8,022,008/- related to local zero-rated supplies. However, it was determined that the input tax of Rs. 8,669,949/- was not admissible under Section 8(1)(b) of the Sales Tax Act, 1990, as per the provisions of S.R.O. 992(I)/2005. The Tribunal emphasized that the refund claim was rejected based on the violation of tax provisions and upheld the Collector's decision. The case reflects the importance of adhering to tax regulations and the stringent measures enforced by the authorities regarding input tax claims. The ruling serves as a precedent for similar cases involving tax refund claims and the interpretation of relevant laws, ensuring compliance with the Sales Tax Act and associated rules. This case highlights the complexities involved in tax law and the necessity for taxpayers to understand the regulations governing input tax refunds to avoid disputes with tax authorities. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
M/s. Diamond Fabrics Limited,
Collector of Customs, Sales Tax, & Federal Excise (Appeals), Lahore
|
| Judges |
MR. M.A. JAVED SHAHEEN, JUDICIAL MEMBER,
MR. SOHAIL AFZAL, ACCOUNTANT MEMBER
|
| Lawyers |
Not available
|
| Petitioners |
M/s. Diamond Fabrics Limited, GulbergII, Lahore
|
| Respondents |
Collector of Customs, Sales Tax, & Federal Excise (Appeals), Lahore
|
| Citations |
2013 SLD 436 = 2013 PDS 1809
|
| Other Citations |
Not available
|
| Laws Involved |
Sales Tax Act, 1990
|
| Sections |
8,
8(1)(b)
|