Law:

Section:

THIS ORDER PASSED BY: NAZIR AHMAD, (JUDICIAL MEMBER):--------------- The titled further appeal pertaining to tax years 2008 and 2009 have been filed at the instant of the department. Since, the representatives present in behalf of the taxpayer as well as department have been heard at length, therefore, the same are disposed of in the following manner: Tax Year 2008 2. For the year under consideration the appellate order da 16.01.2014 recorded by CIR(Appeals-I), Lahore, has been called in question by the department. 3. The facts in brief leading to the instant department appeal are that the taxpayer, a limited company, deriving income from the business of Oil Refining and transportation of Oil Produces through its Oil Pipeline System, filed return for the year un-consideration declaring income at Rs. 21,541,022,774/-, which was treated to be an assessment order in terms of sect 120(1) of the Income Tax Ordinance, 2001 (hereinafter called 'the Ordinance'). Subsequently, the case of the taxpayer was selected for audit and he was informed accordingly. During audit proceedings, on examination of record, certain discrepancies noted by the taxation officer were confronted to the taxpayer by way of issuance of show cause notice u/s 122(9) of the Ordinance dated 28.10.2009. The said audit proceedings were challenged in appeal before the Honourable Lahore High Court and their lordship decided the issue in favour of the taxpayer. Feeling aggrieved, the department went in appeal before the Supreme Court of Pakistan, whose lordship vide judgment dated 24.02.2011 recorded in C.A. No.1306/2009 etc., directed the department to follow the policy guidelines issued by the FBR vide C.No.4(78)/ITP/2009/7321-R dated 14.01.2010. Therefore, the department did not close the audit proceedings on the strength of Board's approval communicated through letter dated 28.04.2011. Resultantly, the audit proceedings culminated in passing of amended assessment order u/s 122(1)/(5) read with section 122(9) of the Ordinance dated 01.03.2013, wherein a tax demand of Rs.2 17,637,793/-was created by making certain additions amounting to Rs.679,019,657/-as per break-up given below:- Disallowance of…

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