KARACHI: M/s Jahangir Siddiqui & Sons Limited approached the Sindh High Court (SHC) and filed petition against recovery notice of Rs145,119,008 for tax year 2016.
Counsel for the petitioner stated in his petition that the petitioner is an unlisted public limited company engaged in the business of investment in shares, securities and other financial instruments and for tax year 2016 filed its income tax return under Section 114 of the Income Tax Ordinance, 2001 declaring total income at Rs444,502,336 and submitted income tax according with law.
He submitted that however, FBR officials refused his statement and demanded Rs156,119,008, therefore, petitioner filed appeal before the commissioner Inland Revenue, (Appeals-III) along with stay application, whereby, requesting stay of arbitrary tax demand of Rs156,119,008 raised by FBR officials as its application is also pending for consideration and has not been heard till the filing of this petition.
Counsel further stated that statutory time period of 30 days provided under Section 137 (2) of the Income Tax Ordinance, 2001 for payment of disputed tax demand will expire on March 20, 2019.
Citing secretary Revenue Division, chairman Federal Board of Revenue, additional commissioner IR Audit, Range-1, Zone-III and others as respondents, petitioner pleaded the court to restrain the respondents form issuing any notice for recovery of impugned demand till the decision of the appeal by the respondent.
He further pleaded the court that recovery of disputed tax amount of Rs145,119,008 may kindly be stayed till decision of his appeal.