| Case ID |
1aa9024b-b77a-4277-bc80-92e76ef09b10 |
| Body |
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| Case Number |
Civil Appeals Nos. 72 to 83 and 86 of 1977 |
| Decision Date |
Mar 04, 1987 |
| Hearing Date |
|
| Decision |
The Supreme Court ruled in favor of the appellants, determining that the disputed dividend income was covered by the declarations of excess income filed by the appellants under Martial Law Regulation No. 32. The court found that the Inspecting Assistant Commissioner of Income-tax lacked jurisdiction to tax the income under section 34-A of the Income-tax Act, as the appellants had filed consolidated statements showing their true income for the relevant period. The judgment was based on the interpretation of the law and the procedural correctness of the assessments made by the tax authorities. |
| Summary |
In the landmark case of Civil Appeals Nos. 72 to 83 and 86 of 1977, the Supreme Court of Pakistan addressed significant questions concerning income tax assessments and the jurisdiction of tax authorities. The appellants, members of the Saigol family, contested the decisions made by the Income-tax Officer and the Inspecting Assistant Commissioner regarding their income tax assessments for the year 1963-64. The core issue revolved around the validity of the reopening of assessments under section 34-A of the Income-tax Act, 1922, and whether the disputed dividend income could be taxed despite the appellants' declarations of excess income under Martial Law Regulation No. 32. The Supreme Court's ruling underscored the importance of adhering to procedural norms in tax assessments and the necessity for tax authorities to operate within their legal jurisdiction. This case is pivotal for understanding tax law in Pakistan, especially in relation to the treatment of excess income declarations and the rights of taxpayers under the Income Tax Act. The decision serves as a precedent for future cases involving similar issues of tax jurisdiction and taxpayer rights, making it a significant reference point for legal practitioners and scholars alike. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Not available
|
| Judges |
SHAFIUR RAHMAN,
S. A. NUSRAT,
ZAFFAR HUSSAIN MIRZA,
ALI HUSSAIN QAZILBASH
|
| Lawyers |
Raja M. Akram, Advocate Supreme Court,
Rana Maqbool Ahmed Qadri, Advocate-on-Record,
M. Ilyas Khan, Advocate Supreme Court,
S. Inayat Hussain Advocate-on-Record
|
| Petitioners |
7 others,
JAVAID SAIGOL
|
| Respondents |
THE COMMISSIONER OF INCOME TAX, LAHORE
|
| Citations |
1987 SLD 856,
1987 PLD 276,
(1988) 57 TAX 1
|
| Other Citations |
Not available
|
| Laws Involved |
Income Tax Act, 1922,
Constitution of Pakistan, 1973
|
| Sections |
66(1),
23,
23A,
34A,
185(3)
|