Petition against alleged Sales Tax recovery notice adjourned until March 21

KARACHI: The hearing of a constitution petition filed by Huffaz Seemless Pipe Mills challenging notice for recovery of Sales Tax was adjourned until March 21.

The petition was taken up Wednesday by a divisional bench of High Court of Sindh (SHC) headed by Justice Munib Akhtar but could not proceed due to shortage of time.

The petitioner making the Chairman FBR, Director General, Director Additional Director of Directorate of Intelligence and Investigations (Sales tax) respondents in the petition alleged harassment by the respondents. The petitioner maintains that the officials of the respondents on 2-12-2015 raised the facility of the petitioner, humiliated and harassed the employees and officers and demanded certain documents, which were not available at the site. They later on the same day issued a notice under section 38 of the Sales tax Act 1990 and raising demand for recovery of Sales Tax. This action by respondents is in violation of section 40 of the Sales tax Act, counsel for petitioner maintains. On a previous hearing, a SHC bench while hearing the petition observed that respondents could initiate action strictly according to law.

A suit was also filed by the petitioner on the same issue, which was heard by a single bench of SHC. The single bench judge hearing the suit on 12-1-2016 restrained the defendants from taking any coercive action against the plaintiff.

According to the Sales Tax notice petitioner evaded a payment of rupees 5, 949,780.

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