| Case ID |
398d22c1-8534-4567-8e1c-4d52306afa06 |
| Body |
View case body. Login to View |
| Case Number |
I.T.A. No. 2071/KB of 2004 |
| Decision Date |
Dec 15, 2004 |
| Hearing Date |
Dec 11, 2004 |
| Decision |
The Income Tax Appellate Tribunal upheld the decision of the Commissioner of Income Tax (Appeal) regarding the allocation of service expenses and the treatment of income related to imports and supplies. The Tribunal found that the earlier Circular 12 of 1991 could not be applied without considering the service receipts under normal law, and the circumstances of the case fell within the scope of Circular 7 of 1992. The findings of the Commissioner were justified, and the Tribunal directed the Assessing Officer to recompute the non-presumptive income accordingly. The Tribunal emphasized the importance of correctly attributing expenses to the appropriate income categories, ensuring compliance with tax regulations. |
| Summary |
This case revolves around the application of the Income Tax Ordinance, 1979, specifically concerning the allocation of expenses related to service income and the treatment of various income types declared by the assessee. The Income Tax Appellate Tribunal examined the appeals filed against the order of the learned CIT(A) and addressed the issues of expense allocation under the relevant circulars. The case highlights the importance of correctly identifying the nature of income and expenses to comply with tax regulations. The Tribunal's decision reinforces the necessity of adhering to the guidelines set forth in the Income Tax Ordinance and the associated circulars, ensuring taxpayers are treated fairly while adhering to the law. The case serves as a significant reference point for future cases concerning similar tax issues, emphasizing the need for clarity in financial reporting and tax compliance. |
| Court |
Income Tax Appellate Tribunal
|
| Entities Involved |
Not available
|
| Judges |
S. HASSAN IMAM (JUDICIAL MEMBER)
|
| Lawyers |
Farrukh Ansari, D.R. for Appellant,
Shahid Pervez Jami for Respondent
|
| Petitioners |
Not available
|
| Respondents |
Not available
|
| Citations |
2005 SLD 128,
2005 PTD 2143
|
| Other Citations |
(1999) 79 Tax (Trib.) (sic)
|
| Laws Involved |
Income Tax Ordinance, 1979
|
| Sections |
19,
50,
62,
80,
80C,
134
|