Law: Income Tax Ordinance, 2001

Section: 114,120,177,121

[Income Tax Ordinance (XLIX of 2001)]..........Sections 114, 120, 177, 121,,.. Return, filing of,, Assessment,,. Audit,,.. Claim of excessive expenses,, Amendment,, Best Judgment,, Appeal to CIR(A), rejected, the instant appeal,,. Jurisdiction,,. It was held by the Honourable Lahore High Court, Lahore in a case referred supra that "For the above reasons, we are of the view that prior to the amendment brought about in section 121 and 177(10), through Finance Act, 2010, section 121(l)(d) did not apply to cases where return of total income had been filed and did not envisage a second assessment order.",, While following ratio decidendi of the of Honourable Lahore High Court, Lahore the Tribunal vacated the orders of the authorities below,, Since the appeals of the taxpayer had been accepted on jurisdictional point there was no further need to dilate upon the merit of the appeals,,. 2013 PTD 837 relied. 2013 PTD 837 followed. JUDGMENT CH. ANWAAR UL HAQ (Judicial Member): These four appeals filed by taxpayer are directed against consolidated order dated 31.08.2012 passed by learned CIR (Appeals-IV) Islamabad relating to tax years 2004 & 2007. 2. Brief facts of the case are that the appellant, an individual derive income from hotel and Restaurant, filed returns u/s 114 of the Income Tax Ordinance, 2001 for the tax years 2004 to 2007 declaring the following results:- Tax year Income/Loss Declared 2004 Loss Rs.330,568/- 2005 Loss Rs.559,212/- 2006 Loss Rs.493,694/- 2007 Loss Rs.188,194/- The returns so filed were deemed to be assessment order in terms of section 120 of the Ordinance. Lateron on desk audit of the returns was conducted wherein it was observed that the taxpayer has claimed excessive expenses in profit and loss account. Consequently the appellant was selected for audit u/s 177 of the Income Tax Ordinance, 2001 for the subject years by the learned Commissioner Inland Revenue (Audit) vide letter dated 12.11.2008. However, since proper compliance was not made by the appellant during the course of audit proceeding. The Taxation Officer amended the assessment for the said tax years u/s 121 (best judgment) of the Income Tax Ordinance, 2001 and assessed…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492