| Case ID |
f7efc0c8-a139-415f-81ab-f75c16f0c7fc |
| Body |
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| Case Number |
Civil Reference/Tax Reference No.49 of 1967 |
| Decision Date |
Oct 22, 1973 |
| Hearing Date |
|
| Decision |
The Lahore High Court ruled that the remuneration received by the respondent for translating religious books into English was of a casual and non-recurring nature, exempt from tax under Section 4(3)(vii) of the Income Tax Act, 1922. The court concluded that the payment did not constitute a recurring receipt as there was no right or claim to expect its recurrence, despite the fact that similar payments had been made in the past. The Tribunal's findings were upheld, indicating that the nature of the payment was primarily motivated by religious affiliations rather than professional obligations. This decision emphasizes the distinction between casual and recurring income, providing clarity on the interpretation of tax exemptions under the Income Tax Act. |
| Summary |
This case revolves around the interpretation of the Income Tax Act, 1922, specifically regarding the classification of certain payments received by an advocate for translation work. The Lahore High Court examined whether these payments were taxable income or exempt as casual and non-recurring receipts. The court determined that the payments were indeed casual and non-recurring, as they were not made in the course of regular professional duties but rather as a result of the advocate's religious contributions. This case highlights the nuances in tax law regarding income classification and the importance of understanding the nature of receipts in determining tax obligations. Keywords such as 'Income Tax Act', 'tax exemption', 'casual income', and 'non-recurring receipts' are essential in understanding the implications of this ruling. |
| Court |
Lahore High Court
|
| Entities Involved |
Not available
|
| Judges |
MUHAMMAD AKRAM,
M.S.H. QURESHI
|
| Lawyers |
Sh.Abdul Haq,
Ali Bin Abdul Qadir
|
| Petitioners |
COMMISSIONER OF INCOME TAX, NORTH ZONE (WEST PAKISTAN)
|
| Respondents |
QAZI ABDUL HAMID
|
| Citations |
1974 SLD 59,
(1974) 29 TAX 129,
1974 PTD 41,
1974 PLD 100
|
| Other Citations |
Not available
|
| Laws Involved |
Income Tax Act, 1922
|
| Sections |
4(3)(vii),
66(1)
|