| Case ID |
266607ec-d834-403a-8147-cdbca9443c67 |
| Body |
View case body. Login to View |
| Case Number |
I.T.A. No.1647/IB of 2005 |
| Decision Date |
Dec 14, 2011 |
| Hearing Date |
|
| Decision |
The Appellate Tribunal found the addition of Rs.1,200,000 under section 13(1)(aa) of the Income Tax Ordinance, 1979 to be legally incorrect and deleted it. The Tribunal emphasized that the approval for such an addition must be obtained from the Inspecting Additional Commissioner, which was not done in this case. The Tribunal referenced a prior decision in 2010 PTD (Trib.) 494, which established that the powers of assessment and approval cannot be vested in the same authority, affirming that the Commissioner could not independently approve the assessment. Thus, the appeal of the assessee was accepted. |
| Summary |
This case involves the Appellate Tribunal Inland Revenue's decision regarding an appeal filed by MESSRS ALMEHDI INTERNATIONAL against the C.I.T.(A), Rawalpindi concerning the Income Tax Ordinance, 1979 and 2001. The case centered on the legality of an addition to the taxpayer's income based on unexplained investments. The taxpayer contested an addition of Rs.1,200,000 made under section 13(1)(aa) of the Income Tax Ordinance, 1979, arguing that the proper legal procedures were not followed, specifically regarding the need for approval from the Inspecting Additional Commissioner. The Tribunal found that the addition was made without proper authority and ruled in favor of the taxpayer, highlighting the importance of compliance with legal requirements in tax assessments. This case underscores the complexities of tax law and the necessity for adherence to procedural norms to ensure fair treatment of taxpayers. |
| Court |
Appellate Tribunal Inland Revenue
|
| Entities Involved |
Not available
|
| Judges |
MUNSIF KHAN MINHAS, JUDICIAL MEMBER,
IKRAM ULLAH GHAURI, ACCOUNTANT MEMBER
|
| Lawyers |
Ch. Naeem-ul-Haq, Advocate,
Mr. Mohy-ud-Din Ismail, learned DR
|
| Petitioners |
MESSRS ALMEHDI INTERNATIONAL SHAH PLAZA
|
| Respondents |
C.I.T.(A), RAWALPINDI
|
| Citations |
2012 SLD 780,
2012 PTD 498
|
| Other Citations |
2010 PTD (Trib.) 494,
I.T.As. Nos.86-91 (PB) of 2005,
I.T.As. Nos. 1902, 1903 and 1910-1913(1B) of 2005
|
| Laws Involved |
Income Tax Ordinance, 1979,
Income Tax Ordinance, 2001
|
| Sections |
13(1)(aa),
62,
2(13),
2(65),
210
|