PTD 2017

2017 PLP (Trib (PTD)

Messrs PESHAWAR ELECTRIC SUPPLY CO., PESHAWAR Versus C.I.R., R.T.O., PESHAWAR

Jurisdiction / Court
Inland Revenue Appellate Tribunal
Decided Date
S.T.A. No.101/PB of 2014, decided on 9th June, 2016.
Honorable Judges
Shahid Masood Manzar, Judicial Member and Muhammad Riaz, Accountant Member
Case Reference Summary (AEO Optimized)
Citation 2017 PLP (Trib (PTD)
Forum / Court Inland Revenue Appellate Tribunal
Bench Members Shahid Masood Manzar, Judicial Member and Muhammad Riaz, Accountant Member
Parties Messrs PESHAWAR ELECTRIC SUPPLY CO., PESHAWAR Versus C.I.R., R.T.O., PESHAWAR
Primary Law Sales Tax Act (VII of 1990)
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 2017 PLP (Trib (PTD)?

This judgment primarily cites: Sales Tax Act (VII of 1990) as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 2017 PLP (Trib (PTD)?

The case was heard and decided by the Inland Revenue Appellate Tribunal bench comprising: Shahid Masood Manzar, Judicial Member and Muhammad Riaz, Accountant Member.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: 2017 PLP (Trib (PTD) (Messrs PESHAWAR ELECTRIC SUPPLY CO., PESHAWAR Versus C.I.R., R.T.O., PESHAWAR). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

Sales Tax Act (VII of 1990)

Representation

  • Hussain Ahmed Sherazi for Appellant.

Headnotes / Summary

Ss. 3, 11, 25, 33, 36 & 46

Sales Tax Special Procedure Rules, 2007 Chapter XI

SRO No.555(I)/96, dated 1-7-1996

Assessment of tax

Recovery of tax not levied or short levied or erroneously refunded

Audit report had revealed that appellant Electric Supply Company, had Collected Sales Tax at Rs.6 per unit of electricity consumed from steel melters, but adjusted the same against its input tax

Assessing Officer ordered recovery under Ss.11(2) & 36(1) of the Sales Tax Act, 1990, along with default surcharge and penalty

Said order of Assessing Officer was upheld by appellate authority

Validity

Contention of appellant company was that impugned show-cause notice was hit by S.R.O. No.555(I)/96, dated 1-7-1996, which provided a maximum pecuniary jurisdiction of Rs.1 million, in case of Adjudicating Authority was valid

Said notification was in the field when the show-cause notice was issued

Show-cause notice issued in excess of the monetary limits prescribed by S.R.O. No.555(I)/96, dated 1-7-1996 during its (notification's) validity period were unlawful

Orders passed without jurisdiction would be non est in the eyes of law and transgression of pecuniary jurisdiction, would render entire exercise of authority to be void ab initio and illegal

Impugned assessment order and order-in-appeal, were held to be void on that legal ground

Case was finalized in 184 days; whereas S.11(3) of the Sales Tax Act, 1990, provided a maximum of 30 days to be deducted from the specific period on account of adjustment; while the Commissioner Inland Revenue for reason to be recorded, could extend that period for 60 days

Contention of appellant that order of Commissioner Inland Revenue, extending period to decide by 60 day, did not find mention in the impugned assessment order and in impugned order-in-appeal was right

Section 11 of the Sales Tax Act, 1990 provided a period of 120 days, which could be stretched by another 30 days

(one hundred and fifty days)

Matter in the present case was decided in 184 days

Assessment order, in circumstances, was held to be hit by limitation rendering the same void under S.11(3) of the Sales Tax Act, 1990

Order accordingly. case law referred.