| Case ID |
251fca41-0c24-4887-8908-7c58aab28f68 |
| Body |
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| Case Number |
Income-tax Case No. 12 of 1977 |
| Decision Date |
Dec 02, 1985 |
| Hearing Date |
Nov 27, 1985 |
| Decision |
The Sindh High Court held that the Income Tax Appellate Tribunal had the power to rectify mistakes under section 35 of the Income Tax Act, 1922. The Tribunal was found to have acted within its jurisdiction by correcting the earlier assessment that had incorrectly added railway freight expenses to the gross profit of the respondent. The Court emphasized that the Tribunal's role is to ensure accurate assessments based on the factual record, confirming that the Tribunal's rectification of the mistake was not a revision of its previous order but a legitimate correction of an apparent error. This ruling clarified the scope of the Tribunal's powers and the significance of accurate record-keeping in tax assessments. |
| Summary |
This case revolves around the powers of the Income Tax Appellate Tribunal under the Income Tax Act, 1922, specifically focusing on the rectification of apparent mistakes in tax assessments. The Sindh High Court addressed the procedural aspects of tax law, emphasizing the importance of accurate financial reporting and the Tribunal's authority to amend previous orders when clear errors are identified. The case illustrates the ongoing legal interpretations of tax laws in Pakistan, highlighting the Tribunal's essential role in ensuring justice and fairness in tax assessments. Key points included the Tribunal's ability to revisit decisions based on factual inaccuracies and the broader implications for taxpayers and tax authorities alike. The ruling serves as a precedent for future cases involving tax law disputes, reinforcing the need for meticulous compliance with tax regulations and the potential for rectification when discrepancies arise. This case is crucial for understanding the dynamics of tax litigation in Pakistan, as it underscores the balance between administrative authority and the rights of taxpayers. |
| Court |
Sindh High Court
|
| Entities Involved |
|
| Judges |
NAIMUDDIN,
MAMOON KAZI
|
| Lawyers |
Abdul Waheed Faruqui,
Iqbal Naeem Pasha
|
| Petitioners |
COMMISSIONER OF Income Tax (EAST ZONE), KARACHI
|
| Respondents |
MESSRS QURESHI BROTHERS
|
| Citations |
1986 SLD 22,
1986 PTD 100,
(1986) 54 TAX 26
|
| Other Citations |
1976 P T D 237,
P L D 1960 S C 371
|
| Laws Involved |
Income Tax Act, 1922
|
| Sections |
66,
233,
35(2),
66(2)
|