| Case ID |
2b78dd5b-3bef-4bd4-88b4-0e46723c9bb9 |
| Body |
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| Case Number |
Civil Appeal No. 86 of 1966 |
| Decision Date |
Jun 07, 1972 |
| Hearing Date |
Jun 06, 1972 |
| Decision |
The Supreme Court partly allowed the appeal, remanding the case to the High Court to consider whether the Sales Tax Authority could assess the appellant after a lapse of four years, two months, and twenty-nine days, and whether the imposition of the penalty without affording an opportunity to be heard was justified. The Court emphasized that the assessment authority's jurisdiction is core to the case, and the lack of hearing for the imposed penalty rendered it questionable. The previous dismissal of the writ petition by the High Court in November 1961 was also scrutinized for its legality, focusing on whether the High Court properly exercised its jurisdiction given the present circumstances. |
| Summary |
The case involves Premier Cloth Mills Ltd. appealing against the Sales Tax Officer's assessment and penalty without proper jurisdiction and due process. The Supreme Court examined the constitutional and legislative framework surrounding sales tax laws, specifically focusing on the Sales Tax Act of 1951 and the Government of India Act of 1935. The Court highlighted the importance of jurisdiction in tax assessments and the necessity for due process in imposing penalties. The decision reinforces the significance of adhering to legal protocols in tax-related matters, ensuring that entities are granted fair opportunities to contest assessments. The outcome of this case has implications for future tax assessments and the procedural requirements necessary for validity, emphasizing the balance between legislative power and individual rights in tax law. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
PREMIER CLOTH MILLS LTD.,
Sales Tax Authority
|
| Judges |
SAJJAD AHMAD,
WAHEEDUDDIN AHMAD,
SALAHUDDIN AHMAD
|
| Lawyers |
Javed Hashrni, Advocate,
Ejaz Ahmad Khan, Advocate-on-Record,
Sh. Abdul Hague, Advocate,
hl. Z. Khalil, Advocate-on-Record
|
| Petitioners |
PREMIER CLOTH MILLS LTD.
|
| Respondents |
,
THE SALES TAX OFFICER, INVESTIGATION CIRCLE II, Lahore High Court
|
| Citations |
1972 SLD 184,
1972 SCMR 257
|
| Other Citations |
Noorani Cotton Corporation v. Sales Tax Officer P L D 1965 S C 161,
Nagina Silk Mill v. Income-tax Officer P L D 1963 S C 322,
Usmania Glass Sheet Factory v. Sales Tax Officer P L D 1971 S C 205
|
| Laws Involved |
Sales Tax Act (III of 1951),
Government of India Act, 1935,
Constitution of Pakistan (1962)
|
| Sections |
S. 28,
S. 100,
Art. 98
|