| Case ID |
392570b7-8080-4cab-aa4e-8816e0ffc83b |
| Body |
View case body. Login to View |
| Case Number |
Writ Petition No. 1181 of 1971 |
| Decision Date |
Nov 27, 1975 |
| Hearing Date |
Apr 18, 1975 |
| Decision |
The Lahore High Court held that the assessments made by the Sales Tax Officer for the financial years 1960-61, 1961-62, and 1962-63 were valid and not barred by time. The court ruled that the petitioner had filed quarterly returns on time, and the assessments were completed within the permissible limits as per the Sales Tax Act. The court clarified that the term 'escapement of tax' does not apply as the assessments were still pending. Furthermore, the court rejected the argument that the Assistant Income-Tax Officer lacked jurisdiction, stating that he was authorized to perform the functions of a Sales Tax Officer. The decision emphasized adherence to procedural requirements and affirmed the legitimacy of the assessments made. |
| Summary |
This case revolves around the validity of three assessment orders issued by the Sales Tax Officer against Mumtaz Industries for the financial years 1960-61, 1961-62, and 1962-63. The Lahore High Court addressed the key issues surrounding the Sales Tax Act, 1951, particularly regarding the timing of assessments and the jurisdiction of the officers involved. The petitioner contended that the assessments were barred by time and that the Assistant Income-Tax Officer lacked the authority to finalize the sales tax assessments. However, the court found that the assessments were made within the statutory timeframe and that the Assistant Officer was indeed empowered to conduct such assessments. This case highlights the importance of compliance with tax regulations and the procedural intricacies involved in tax assessments, reflecting broader themes of authority and jurisdiction within the tax framework. The ruling reinforces the principle that timely filing of returns protects taxpayers from claims of tax escapement, thus contributing to the discourse on tax law and taxpayer rights. |
| Court |
Lahore High Court
|
| Entities Involved |
Not available
|
| Judges |
MUHAMMAD AKRAM,
GUL MUHAMMAD KHAN
|
| Lawyers |
Ali Bin Abdul Qadir,
M.A. Lone
|
| Petitioners |
MUMTAZ INDUSTRIES
|
| Respondents |
SALES TAX OFFICER
|
| Citations |
1975 SLD 89,
(1976) 34 TAX 18
|
| Other Citations |
Commissioner of Income-tax v. Hossen Kasam Dada (1961) 4 Taxation 96,
Dada Ltd, v. Commissioner of Income-tax (PLD 1974 S C 310, (1974) 30 Taxation 91 (S.C.),
In re. Lachhiram Basantlal (133 I.C. 187),
Harakchand Makanji & Co. v. Commissioner of Income-tax (1948) 16 I.T.R. 119,
Commissioner of Income-tax v. Ranchhoddas Karsondas (1959) 36 I.T.R. 569,
Muhammad Shakoor Muhammad Basheer v. Commissioner of Income-tax (1972) P.T.D. 545,
Sir Rajendra Nath Mukerjee v. Commissioner of Income-tax (AIR 1934 P.C. 30),
Mannalal Modi v. Commissioner of income-tax (1956) 29 I.T.R. 30,
Ata Hussain Khan Ltd. v. Commissioner of income-tax (1968) 17 Taxation 220,
Haji Nizamuddin Muhammad Amanullah and others v. Commissioner of income Tax (1970) 22 Taxation 59,
Taj Din Maula Bux v. Sales Tax Officer (1971) 23 Taxation 317,
Ghulam Mohiuddin v. Chief Settlement Commissioner (PLD 1964 S C 829),
Hafizuddin V. Mian Khadim Hussain, Addl, Deputy Commissioner, Lahore and another (PLD 1965 Lah. 439)
|
| Laws Involved |
Sales Tax Act, 1951
|
| Sections |
10,
10(3),
28(1)
|