Legal Case Summary

Case Details
Case ID 3d73a52d-b106-48dd-a502-17f8c0989035
Body View case body.
Case Number Sales Tax Appeal No.847/LB of 2008
Decision Date Feb 24, 2009
Hearing Date
Decision The appeal was accepted, and the impugned order was set aside. The department failed to establish the allegations made against the appellant, who was blacklisted without any substantial evidence. The judgment highlighted the lack of action against the suppliers involved and emphasized that the benefit of the doubt should be given to the accused. The department's non-compliance with court orders and failure to defend the case were also noted, which contributed to the decision.
Summary This case revolves around Sales Tax Appeal No.847/LB of 2008, where the Appellate Tribunal Inland Revenue dealt with issues related to blacklisting under the Sales Tax Act, 1990. The appellant, Messrs Bismillah Enterprises, was accused of engaging in paper transactions without proper documentation, claiming input tax refunds based on invoices from blacklisted suppliers. The Tribunal found that the department had not substantiated its claims and highlighted the discriminatory treatment of the appellant compared to suppliers. The judgment emphasized the importance of due process and the need for the department to provide evidence when making serious allegations. The decision underscores the principle that the benefit of the doubt should favor the accused in tax matters, especially when the prosecution fails to comply with court orders and does not appear to defend its case. This case is significant for understanding taxpayer rights and the responsibilities of tax authorities in Pakistan.
Court Appellate Tribunal Inland Revenue
Entities Involved Messrs Bismillah Enterprises, Messrs Friends Traders, Messrs I.W. Enterprises, Messrs China Impex, Messrs Silver Sense Company, Messrs Y.Q. Traders
Judges MIAN MUHAMMAD HANIF TAHIR
Lawyers Muhammad Akram Nizami
Petitioners Muhammad Akram Nizami
Respondents Nemo
Citations 2009 SLD 62, 2009 PTCL 767, 2010 PTD 845
Other Citations Not available
Laws Involved Sales Tax Act, 1990
Sections 21, 46