Decision of appeal

Period provided in proviso to S.131 of Income Tax Ordinance, 2001, was mandatory keeping in view the time line provided in S.132 of Income Tax Ordinance, 2001, for adjudication of main appeal as 180 days

Appellate Tribunal Inland Revenue was under statutory obligation to adhere to said time line unless there was a good reason for delay in disposal of appeal

High Court set aside extension in interim relief as the same was without lawful authority

Constitutional petition by department was allowed accordingly.

Provisions of S.45B of the Sales Tax Act, 1990 prescribed a period of 120 days for decision of appeal, which could be extended by 60 days for reasons to be recorded in writing and no further extension was allowed

Appeals, in the present case, were admittedly filed on 14-6-2011 which ought to have been adjudicated upon by 12-10-2011

Said period could have been extended by 60 days i.e. up to 12-12-2011

No extension beyond such period was permissible

No provisions of Sales Tax Act, 1990 and the Rules allowed the Federal Board of Revenue to extend the period prescribed by the 1st and 2nd provisos to S.45-B of the Sales Tax Act, 1990

Without there being any enabling provision, the extension allowed by the Federal Board of Revenue could not be permitted

No reason existed for delaying the rendering of decision by the First Appellate Authority for about six months when the appeal had been finally heard on 21-12-2011

Such a delay could not be ignored which smacked that mala fide as imputed by the taxpayer in his affidavit, which Appellate Tribunal refrained to comment upon, there being other administrative authorities for taking cognizance of such glaring maladministration.