Law: Sales Tax Act, 1990

Section: 2(3),2(18),11,11(30,25,25(1),38,45A,72B

Law: Constitution of Pakistan, 1973

Section: 10A

Law: Sales Tax Special Procedure (Withholding) Rules, 2007

Section: Rule58E,58E(2) ofChapterX,39c

Law: General Clauses Act, 1897

Section: 24A

ORDER Through this appeal the appellant has assailed the impugned Order-in- Appeal No. 44/2016 dated 10-03"2016 passed by the learned Commissioner Inland Revenue(Appeals-I), Islamabad on the following ground of appeal;- (i) That the Order passed by learned CIR(A) is based on mala fide, arbitrary, bad at law, against the facts and circumstances of the case; ii) That the learned CIR(A) has erred in passing the Orse without calling and examining the record of Directorate General of Intelligence and Investigation, IR, Islamabad where the Director General, Directorate General I&I, IR, Islamabad wherein the issue is already closed and the proceedings in the case were filed. (iii) That learned CIR(A) has ignored the fact that ATEC (a special cell viz., Anti-Tax Evasion Cell created on the Directions of FBR) was an independent limb and section of I&I in which learned Director was not part of hierarchy. Learned Director I&I has illegally and without jurisdiction forwarded the ^preliminary audit report' which was already rebutted by the appellant and the proceedings were closed by the Director General (head of ATEC) based on the Audit Report of Additional Director. The action of Director was without lawful jurisdiction as he was not part of hierarchy of ATEC of Directorate General of Intelligence and Investigation, IR, Islamabad. (iv) That CIR(A) failed to adjudicate the fact that the department has adjudicated case without any valid jurisdiction. The investigation proceedings were concluded and culminated in favour of registered person by the Director General, Directorate General of Intelligence and Investigation, IR, Islamabad (which is equivalent to the rank of Chief Commissioner IR). After concluding and filing the proceedings, neither Director (I&I) can send the contravention report of Deputy Director (I&I) to the field formation for adjudication. The only authority to recall the proceedings is vested with the FBR under section 45A of the Sales Tax Act, 1990. The Director and Deputy Director send the contravention without lawful authority, the show cause notice based on that contravention is illegal and thus, Order-in- Original based on the…