PTD 1989

1989 PLP 1247 (PTD)

THE COMMISSIONER OF INCOME TAX Versus Messrs HABIB INSURANCE CO. Ltd.

Jurisdiction / Court
Karachi High Court
Decided Date
I.T.R. No.4 of 1982, decided on 18th May 1989.
Honorable Judges
Saleem Akhtar and Imam Ali G. Kazi, JJ
Case Reference Summary (AEO Optimized)
Citation 1989 PLP 1247 (PTD)
Forum / Court Karachi High Court
Bench Members Saleem Akhtar and Imam Ali G. Kazi, JJ
Parties THE COMMISSIONER OF INCOME TAX Versus Messrs HABIB INSURANCE CO. Ltd.
Primary Law Income-tax Act (XI of 1922)
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 1989 PLP 1247 (PTD)?

This judgment primarily cites: Income-tax Act (XI of 1922) as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 1989 PLP 1247 (PTD)?

The case was heard and decided by the Karachi High Court bench comprising: Saleem Akhtar and Imam Ali G. Kazi, JJ.

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

Cite this legal precedent as: 1989 PLP 1247 (PTD) (THE COMMISSIONER OF INCOME TAX Versus Messrs HABIB INSURANCE CO. Ltd.). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

Income-tax Act (XI of 1922)

Representation

  • Rehanul Hassan Naqvi for Ali Athar for Respondent.
  • Date of hearing: 18th May, 1989.

Headnotes / Summary

S.10--Taxation reserve, admissibility of--Amount claimed on account of provision for taxation or taxation reserve is admissible expenditure under S. 10. Commissioner of Income-tax (Central), Karachi v. Mercantile Fire and General Insurance Company Limited 1989 P T D 142 fol. Munirur Rehman for Shaikh Haider for Applicant.

Judgment & Decree

SALEEM AKHTAR, J.--The respondent is a public limited company which carries on life and general insurance business. For the assessment year 1973-74 it had made a provision for taxation to the extent of Rs.28,00,000 This amount was added back by the Income-tax Officer as inadmissible under Section 10 of the Income Tax Act. In appeal the Appellate Assistant Commissioner deleted the same, which was maintained by the Tribunal. The Department then filed application under section 66 (1) and the following question has been referred:-- "Whether on the facts and in the circumstances of the case, the Income -tax Appellate Tribunal was justified in deleting the add-back of Rs.28,00,000 claimed by the assessee-company on account of provision for taxation or taxation reserve which is inadmissible under section 10 of the Income Tax Act." This question came up for consideration before us and by Judgment in Commissioner of. Income Tax (Central) Karachi v. Mercantile Fire and General Insurance Company Limited 1989 P T D 142 we have answered in the affirmative. Following this judgment we answer this question in the affirmative. M.Z.S./C-130/K Reference answered in affirmative.