| Case ID |
1a6eb057-9f9d-4b7e-9ad3-ea3bb886915f |
| Body |
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| Case Number |
STA 255/LB of 2004 |
| Decision Date |
Dec 21, 2006 |
| Hearing Date |
Dec 11, 2006 |
| Decision |
The Appellate Tribunal accepted the appeal, set aside the previous orders, and ruled that the department lacked the authority to impose a fixed percentage of value addition on the registered person. The Tribunal noted that no evidence was presented to justify the higher value addition and acknowledged that the appellant was not required to maintain records for transportation, handling, and storage charges since the goods were sold at the port. The case was decided in favor of the appellant, highlighting the importance of adhering to the provisions of the Sales Tax Act, 1990, and ensuring that the department follows proper procedures when assessing value additions. |
| Summary |
This case revolves around the Sales Tax Act, 1990, specifically addressing the determination of value addition for sales tax purposes. The Appellate Tribunal found that the department had incorrectly assessed the value of imported steel sheets sold by the appellant. The decision emphasized the necessity for the department to follow the correct legal mechanisms when determining value additions, particularly in the absence of proper records. The Tribunal's ruling reinforced the principle that registered persons should not be compelled to adhere to arbitrary value additions without substantial evidence. This case is significant for businesses involved in the import and sale of goods, as it clarifies their rights and obligations under the Sales Tax Act, 1990. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
|
| Judges |
Zafarul Majeed
|
| Lawyers |
Iyaz Ahmad, C.A.,
Khalid Mehmood, D.R.
|
| Petitioners |
|
| Respondents |
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| Citations |
2007 SLD 268 = 2007 PTD 1490
|
| Other Citations |
Sales Tax Appeal No.157/LB/2002 GST 2002 CL.44
|
| Laws Involved |
Sales Tax Act, 1990
|
| Sections |
33,
2(46)(d),
33(2)(cc),
33(3)(b)
|