| Case ID |
d66c8a3f-5a3d-4f85-b666-007e38b0eb2e |
| Body |
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| Case Number |
Reference Case No. 11 of 1969 |
| Decision Date |
Apr 16, 1976 |
| Hearing Date |
Apr 08, 1976 |
| Decision |
The court ruled that the assessee, Malik Taimur Shah, was liable for additional tax under section 45-A of the Income Tax Act, 1922, due to his failure to pay the due tax. The court found that the imposition of additional tax was valid, as the failure to pay occurred after section 45-A became part of the Income Tax Act. The arguments presented by the counsel for the assessee were rejected, and it was clarified that liabilities under fiscal statutes cannot be altered unless expressly stated by retrospective legislation. The court emphasized the strict construction of fiscal statutes and concluded that the additional tax was appropriately levied for non-payment by the due dates for the charge years in question. |
| Summary |
In the case of Malik Taimur Shah vs. The Commissioner of Income Tax, the Sindh High Court addressed the issue of additional tax under the Income Tax Act, 1922. The court reviewed the arguments presented regarding the applicability of section 45-A, which imposes additional tax for failure to pay due taxes. The court held that the provisions of the Income Tax Act are strictly construed, and the additional tax was valid since the failure to pay occurred after section 45-A was enacted. The judgment clarified that the liability for additional tax arises from the failure to pay tax due as per the notices issued, and the court emphasized that the Income Tax Act operates in conjunction with the Finance Act. The decision reinforced the legal principle that liabilities cannot be retrospectively altered unless explicitly stated. This case highlights the importance of compliance with tax obligations and the repercussions of non-payment, serving as a crucial reference for taxpayers and legal practitioners in understanding tax liabilities. Keywords: Income Tax Act, additional tax, compliance, Sindh High Court, fiscal statutes. |
| Court |
Sindh High Court
|
| Entities Involved |
Not available
|
| Judges |
I. MAHMUD,
Z. A. CHANNA
|
| Lawyers |
Ali Athar,
S. A. Nusrat
|
| Petitioners |
Malik TAIMUR SHAH
|
| Respondents |
THE COMMISSIONER OF Income Tax
|
| Citations |
1976 SLD 16,
1976 PLD 1030
|
| Other Citations |
PLD 1960 SC 187,
2 I T C 167
|
| Laws Involved |
Income Tax Act, 1922
|
| Sections |
45,
45A
|