| Case ID |
386f79f4-470d-46e3-a18c-4cc1258646f2 |
| Body |
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| Case Number |
I. T. A. No.708 (IB) of 1986-87 |
| Decision Date |
Mar 08, 1988 |
| Hearing Date |
|
| Decision |
The appeal on behalf of the assessee was directed against the impugned order of the learned A.A.C. which confirmed the assessment for the charge year 1984-85. The assessment had originally been made on a net income of Rs.24,200 under section 59(1) of the Income-tax Ordinance, 1979. The assessment was reopened based on information received from the Income-tax Officer indicating that the assessee had purchased property worth Rs.60,000, which was significantly lower than the value assessed for Capital Gains Tax. The Tribunal concluded that the Income-tax Officer had no justification to propose a separate addition without evidence to dispute the disclosed purchase price. The Tribunal emphasized that the disclosed purchase price could not be questioned unless definite proof was provided. Consequently, the addition made by the Income-tax Officer was deleted, and the appeal was accepted. |
| Summary |
This case revolves around the Income Tax Ordinance of 1979, focusing on the principles of fair assessment and the rights of the taxpayer. The Income Tax Appellate Tribunal addressed the legality of the income reassessment based on the discrepancy between the purchase price of a property and its assessed value for Capital Gains Tax. The Tribunal ruled that without sufficient evidence to challenge the declared price, the Income-tax Officer's actions were unjustified. This case underscores the importance of due process in tax assessments and reinforces the taxpayer's position against arbitrary evaluations. Keywords: Income Tax Ordinance, tax assessment, taxpayer rights, fair evaluation, legal compliance, reassessment procedures, Capital Gains Tax. |
| Court |
Income Tax Appellate Tribunal
|
| Entities Involved |
Not available
|
| Judges |
Sikandar Hayat Khan, Accountant Member
|
| Lawyers |
S. A. Malik,
Maqbool Hussain Shah DR
|
| Petitioners |
Not available
|
| Respondents |
Not available
|
| Citations |
1988 SLD 122,
1988 PTD 992,
(1989) 59 TAX 55
|
| Other Citations |
I. T. A. No. 185/IB/1985-86,
ITA No. 110/IB/1985-86
|
| Laws Involved |
Income Tax Ordinance, 1979
|
| Sections |
62,
65,
13(1)(aa),
(d),
(2)
|