| Case ID |
2ae18cac-00d6-46bb-9919-1c18998b3237 |
| Body |
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| Case Number |
Writ Petition No. 19981 of 2019 |
| Decision Date |
Apr 10, 2019 |
| Hearing Date |
Apr 10, 2019 |
| Decision |
The Lahore High Court allowed the constitutional petition of Quaideazam Thermal Private Limited against the Federal Board of Revenue, declaring the notice for the attachment of bank accounts illegal due to failure to provide the mandatory thirty-day notice period before recovery action. The court emphasized the importance of procedural fairness and the right to a fair trial under Articles 10A and 19A of the Constitution of Pakistan. Consequently, the case was remanded for fresh notice issuance, ensuring the petitioner had adequate time to respond before any coercive measures were taken. |
| Summary |
In the case of Quaideazam Thermal Private Limited vs. Federal Board of Revenue, the Lahore High Court addressed significant issues regarding tax recovery procedures. The petitioner challenged the attachment of its bank accounts without the mandatory thirty-day notice period required by the Sales Tax Rules. The court ruled in favor of the petitioner, underscoring the necessity of procedural fairness and the fundamental rights guaranteed under the Constitution. This decision highlights the balance between tax enforcement and taxpayer rights, establishing a precedent for similar cases in the future. The ruling reinforces the principle that taxpayers must be afforded adequate time to contest tax demands before any coercive actions are taken against them. Key aspects of the ruling include the emphasis on the right to a fair trial and the requirement for clear communication of tax liabilities. The decision serves as a vital reference for taxpayers and legal practitioners in understanding the legal protections available in tax-related disputes. |
| Court |
Lahore High Court
|
| Entities Involved |
QUAIDEAZAM THERMAL PRIVATE LIMITED,
FEDERAL BOARD OF REVENUE
|
| Judges |
MUHAMMAD SAJID MEHMOOD SETHI
|
| Lawyers |
Ms. Samar Masood Soofi,
Mr. Saeed-ur-Rehman Dogar
|
| Petitioners |
QUAIDEAZAM THERMAL PRIVATE LIMITED
|
| Respondents |
FEDERAL BOARD OF REVENUE
|
| Citations |
2019 SLD 878,
2019 LHC 1446,
2020 PTD 165
|
| Other Citations |
2006 PTD 535,
2016 PTD 1799,
2006 PTD 2207,
2003 PTD 2722,
2012 SC MR 1860,
2015 PTD 2296,
S.T.A. No.228/LB/2017
|
| Laws Involved |
Sales Tax Act, 1990,
Constitution of Pakistan, 1973,
Sales Tax Rules, 2006
|
| Sections |
33(19),
48(1)(b),
10A,
19A,
71,
71(1),
71(2)(b),
71(2)(d)
|