Legal Case Summary

Case Details
Case ID 31b449aa-9e69-45b8-9551-eb31f87f8192
Body View case body.
Case Number I.T.A. No.1876/LB of 2012
Decision Date Dec 19, 2012
Hearing Date
Decision The Income Tax Appellate Tribunal upheld the decision of the Commissioner Inland Revenue (Appeals), Gujranwala, which annulled the order under sections 161/205 of the Income Tax Ordinance, 2001. The Tribunal found that the taxpayer, an Association of Persons (AOP), had established its status as an individual for the tax year 2009. The Tribunal highlighted that the taxpayer was not obliged to deduct tax under section 153(7)(h) or (i) of the Income Tax Ordinance, 2001. The order was deemed not sustainable, and the appeal filed by the Revenue was dismissed.
Summary In this significant case involving the Income Tax Ordinance, 2001, the Income Tax Appellate Tribunal ruled on the status of a taxpayer, an Association of Persons (AOP), with an annual turnover exceeding fifty million Rupees. The case focused on the provisions of sections 153, 161, and 205, particularly regarding the obligation to deduct income tax. The Tribunal upheld the prior decision of the Commissioner Inland Revenue (Appeals), which annulled the tax liability imposed on the taxpayer for the tax year 2009. The Tribunal emphasized that the taxpayer's status as an individual was established, thus exempting it from the tax deduction requirements. This case highlights the importance of accurately determining taxpayer status and compliance with tax obligations under the Income Tax Ordinance. Keywords: Income Tax Ordinance, tax liability, Association of Persons, tax deduction, Tribunal ruling.
Court Income Tax Appellate Tribunal
Entities Involved Not available
Judges JAVAID MASOOD TAHIR BHARTI, CHAIRMAN, SAHAIL AFZAL, ACCOUNTANT MEMBER
Lawyers Mrs. Ayesha Imran Butt, D.R. for Appellant, Shoaib Ahmad Sheikh for Respondent
Petitioners Messrs T.K. STEEL MILLS, SIEII, GUJRANWALA
Respondents Not available
Citations 2013 SLD 27 = 2013 PTD 459
Other Citations 2012 PTD (Trib.) 1732
Laws Involved Income Tax Ordinance, 2001
Sections 153, 161, 205, 153(7)(h)(i), 153(1)(a)