| Case ID |
d4510341-0fe6-4149-bba8-19870c147225 |
| Body |
View case body. Login to View |
| Case Number |
P.T.Rs. Nos 629, 816, 734, 684, 773, 289, 290, 334 |
| Decision Date |
Apr 10, 2008 |
| Hearing Date |
Jan 28, 2008 |
| Decision |
The Lahore High Court ruled on the application and interpretation of the Income Tax Ordinance, 2001 and its sections, particularly concerning the retrospective effect of certain provisions in relation to assessments finalized under the repealed Income Tax Ordinance, 1979. The court clarified that the notices issued for reopening assessments based on amendments made under the Income Tax Ordinance, 2001 were void and illegal as they did not possess retrospective applicability. The court reaffirmed that such amendments could only apply prospectively and emphasized the necessity of adhering strictly to the language of the tax statutes in question. The decision also underscored the distinction between the roles of the Deputy Commissioner of Income Tax and the Commissioner of Income Tax in making assessments and amendments. Ultimately, the court rejected the petitions from the department, upholding the previous judgments that limited the application of the 2001 Ordinance to assessments made under its provisions, effectively protecting the interests of taxpayers who had completed assessments under the older law. |
| Summary |
This case revolves around the interpretation of the Income Tax Ordinance, 2001, specifically focusing on the retrospective application of its provisions in relation to assessments made under the previous Income Tax Ordinance, 1979. The Lahore High Court evaluated various sections of the Income Tax Ordinance, 2001, particularly section 122, which addresses the amendment of assessment orders. The court concluded that the amendments introduced by the 2001 Ordinance did not have retrospective effect, thereby declaring any notices issued for the reopening of assessments finalized prior to its enforcement as void. This decision highlights the importance of the specific wording in tax legislation and reaffirms the legal principle that changes in tax law must be explicitly stated to apply retrospectively. The ruling is significant for taxpayers and tax authorities, as it clarifies the legal landscape surrounding tax assessments and the powers of tax officials under both the new and old tax laws. The case serves as a precedent for future disputes regarding the interpretation of tax statutes, emphasizing the need for clarity and adherence to legislative intent. |
| Court |
Lahore High Court
|
| Entities Involved |
Messrs IDREES CLOTH HOUSE, LAHORE
|
| Judges |
NASIM SIKANDAR,
KH. FAROOQ SAEED
|
| Lawyers |
Muhammad Ilyas Khan,
Shahid Jamil Khan,
Sajjad Ali Jafri,
Khadim Hussain Zahid,
Muhammad Iqbal Vehniwal,
Faiz-ur-Rehman,
Siraj-ud-Din Khalid,
Shahbaz Butt,
Mian Ashiq Hussain,
Rana Muhammad Afzal,
Javed Iqbal Qazi,
Naveed Andrabi,
Muhammad Iqbal Hashmi,
Monim Sultan,
Ch. Mumtaz-ul-Hassan,
Ijaz Ahmad Awan,
Sajid Ijaz Hotiana,
Ch. Anwar-ul-Haq
|
| Petitioners |
COMMISSIONER OF INCOME TAX/WEALTH TAX, ZONEC (LEGAL), LAHORE
|
| Respondents |
Messrs IDREES CLOTH HOUSE, LAHORE
|
| Citations |
2008 SLD 210,
2008 PTD 1420,
(2008) 97 TAX 393,
2009 PTCL 279
|
| Other Citations |
2006 SCMR 109,
2005 PTD 1621,
2004 PTD 1173,
2002 SCMR 39,
2005 PTD 14,
PLD 1969 SC 322,
2004 PTD 26
|
| Laws Involved |
Income Tax Ordinance, 2001,
Income Tax Ordinance, 1979
|
| Sections |
2(66),
122,
122(1),
122(2),
122(3)(a),
122(3)(b),
122(4),
122(5),
122(5A),
59,
59A,
62,
65
|