| Case ID |
217a8d64-450e-47d4-9af9-711b43bd814c |
| Body |
View case body. Login to View |
| Case Number |
l.T.R.A. No. 304 of 2010 |
| Decision Date |
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| Hearing Date |
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| Decision |
AQEEL AHMED ABBASI, J.---Through instant reference application, following questions have been proposed by the applicant, which according to learned counsel for the applicant arises from the impugned order passed by the Income Tax Appellate Tribunal (Pakistan) Karachi, in I.T.A. No.481/KB of 2008 Tax Year 2006 under section 122(5)(1) dated 31-10-2009.
(1) Whether under the facts and circumstances of the case, the learned Tribunal was justified to hold that the issue did not fall within the category of mistake apparent on record?
(2) Whether under the facts and circumstances of the case, the failure on part of the Commissioner (Appeals) to consider the decision of the Tribunal relied upon by the department, did not constitute a mistake apparent on record?
... [Full decision text continues as provided] ...
Reference dismissed |
| Summary |
In the landmark case of l.T.R.A. No. 304 of 2010, adjudicated by the Sindh High Court on November 20, 2012, the dispute centered around the application of the Income Tax Ordinance, 2001, specifically sections 221 and 133. The petitioner, Commissioner Inland Revenue, Karachi, challenged the decision of the Income Tax Appellate Tribunal (Pakistan) Karachi, which had dismissed the department's application for rectification of an error under section 221. The core issue was whether the mistake being rectified was apparent from the record, as required by the ordinance. The court meticulously examined the principles of rectification, emphasizing that mistakes suitable for rectification should be obvious and not require extensive investigation or interpretation. Citing the precedent set by Messrs National Foods v. CIT (1992 SCMR 687 = 1992 PTD 570 rel.), the court affirmed that the scope of rectification is limited to errors that are evident on the face of the record. The Tribunal had rightly concurred with the CIT (Appeals) in determining that the issue did not fall within the category of mistake apparent on record, as it involved complex re-investigation and re-appraisal of the matter. Consequently, the reference application was dismissed, reinforcing the boundaries of rectification under the Income Tax Ordinance. This decision underscores the judiciary's role in maintaining strict adherence to legal provisions while ensuring that administrative errors are addressed within the framework established by law. The case highlights the importance of clear and unambiguous records in tax administration and the limited scope of judicial intervention in matters requiring detailed re-examination of facts and evidence. Legal practitioners and tax professionals can glean valuable insights into the interpretation and application of rectification provisions, ensuring compliance and mitigating potential disputes. The judgment serves as a critical reference for future cases involving tax rectifications, emphasizing the necessity for errors to be self-evident and not subject to extensive judicial review. By delineating the boundaries of rectification, the Sindh High Court has provided clarity on the procedural and substantive requirements for addressing mistakes within the taxation system, thereby contributing to the robustness and reliability of tax administration in Pakistan. |
| Court |
Sindh High Court
|
| Entities Involved |
COMMISSIONER INLAND REVENUE, KARACHI,
Messrs E.N.I. PAKISTAN (M) LTD., KARACHI
|
| Judges |
AQEEL AHMED ABBASI,
SADIQ HUSSAIN BHATTI
|
| Lawyers |
Muhammad Altaf Mun,
Nemo
|
| Petitioners |
COMMISSIONER INLAND REVENUE, KARACHI
|
| Respondents |
Messrs E.N.I. PAKISTAN (M) LTD., KARACHI
|
| Citations |
2013 SLD 29,
2013 PTD 508
|
| Other Citations |
Messrs National Foods v. CIT 1992 SCMR 687 = 1992 PTD 570 rel.
|
| Laws Involved |
Income Tax Ordinance, 2001
|
| Sections |
221,
133
|