KARACHI: Taking action on a constitutional petition, the Sindh High Court (SHC) has restrained the tax authorities from recovering sales tax and attaching bank accounts of M/s Kausar Automobiles (Private) Limited.
During hearing of petition, a two-member bench, headed by Justice Aqeel Ahmed Abbasi also issued pre-admission notices to the tax authorities and deputy attorney general for March 2, 2017.
Earlier, counsel for the petitioner stated that the deputy commissioner Inland Revenue E&C Unit-2, Zone-IV, LTU Unit-II passed an order under section 11 (2) for the recovery of sales tax. However, being aggrieved, the petitioner approached the commissioner Inland Revenue Appeals-IV LTU and filed an appeal along with stay application.
He informed the court that till date no date is fixed for either hearing of the main appeal or the stay application. On the other handj, the assistant commissioner Inland Revenue E & C Unit-2, Zone-IV, LTU Unit-II has issued a notice for attachment of bank accounts of the petitioner to enforce recovery. The counsel further argued that during the pendency of appeal and stay application, the act of the respondent is illegal, mala fide and arbitrary.
Citing Secretary Ministry of Finance, chairman Federal Board of Revenue (FBR), the commissioner Inland Revenue E&C Unit-2, Zone-IV, LTU Unit-II, the deputy commissioner Inland Revenue E & C Unit-02, Zone-IV, LTU Unit-II and the assistant commissioner Inland Revenue E & C Unit-02, Zone-IV, LTU Unit-II as respondents, the petitioner pleaded the court to restrain them from taking any coercive action against the petitioner.