| Case ID |
3941d7b7-53ec-423f-9c31-672bb61ffcda |
| Body |
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| Case Number |
C.T.R. No. 104 of 1993 |
| Decision Date |
Jan 16, 2001 |
| Hearing Date |
|
| Decision |
The Lahore High Court considered the appeal from the Commissioner of Income Tax, Faisalabad, regarding the cancellation of an assessment. The court found that the question of whether an assessee achieved a particular rate of gross profit in a specific type of business is fundamentally a question of fact. The Tribunal's earlier decision suggested that the Assessing Officer could not challenge the source of the income that was exempt under the law. The court upheld the Tribunal's ruling that the Assessing Officer was not justified in reducing the gross profit rate and maintained that the declared income was exempt from tax. Consequently, the court refused to convert the factual findings into legal questions, emphasizing the importance of maintaining the integrity of factual determinations in tax assessments. |
| Summary |
In the case of C.T.R. No. 104 of 1993, the Lahore High Court addressed the complexities surrounding income tax assessments under the Income Tax Ordinance, 1979. This case involved the Commissioner of Income Tax, Faisalabad, challenging the Tribunal's cancellation of an assessment which had reduced the gross profit rate claimed by the taxpayer, Noorani Ghazi Poultry Hatchery and Breeding Farm. The central issue was whether the Tribunal was justified in its decision based on the facts presented. The court held that the determination of gross profit rates is a factual matter and cannot be elevated to a question of law merely through the use of legal terminology. The court reinforced the principle that income derived from exempt sources should not be subjected to unjustified assessments. This ruling underscores the need for clarity and adherence to legal standards in tax matters, particularly concerning exempt incomes, and sets a precedent for future cases involving similar issues. |
| Court |
Lahore High Court
|
| Entities Involved |
Not available
|
| Judges |
Nasim Sikandar,
Jawwad S. Khawaja
|
| Lawyers |
Shafqat Mehmood Chohan
|
| Petitioners |
Not available
|
| Respondents |
Messrs Noorani Ghazi Poultry Hatchery and Breeding Farm, Faisalabad
|
| Citations |
2001 SLD 199,
2001 PTD 1397,
(2001) 84 TAX 15
|
| Other Citations |
Not available
|
| Laws Involved |
Income Tax Ordinance, 1979
|
| Sections |
136
|