SHC restrains IR authorities from coercive recovery

KARACHI: A division bench of High Court of Sindh (SHC) comprising Justice Aqeel Ahmed Abbasi and Justice Khadhim Hussain M Shaikh restrained the Inland Revenue Authorities from recovering disputed amount of income tax coercive.

The bench was hearing a petition filed by one Muhammad Sadiq Rafique impugning coercive proceedings for recovery of short paid income tax.

The counsel for petitioner argued that pursuant to order  passed under section 221 (2) of the Income Tax Ordinance  2001 by respondents for tax year 2001 by respondent deputy Commissioner Inland revenue, petitioner filed an appeal before Commissioner of Appeals, V, IR along with stay application which is pending disposal.

He submitted that now the respondents have initiated  coercive proceedings for the recovery of impugned demands which is the subject matter of the appeal before the appellate authority. He further argued that the recovery proceedings are illegal and tainted with malice.

The bench after hearing initial arguments of the counsel for petitioner issuing notices to the Deputy Attorney General for Pakistan for Dec 05, restrained the respondent IR authorities from enforcing recovery of disputed amount till next date of hearing.

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