Law: Income Tax Act, 1922

Section: 46,46(1)

Income Tax Act, 1922 (XI of 1922)-Section 46(1), read with Martial Law Regulation No. 32 of 1969-PenaIty-Demand created under Martial Law Regulation No. 32 of 1959--Default in payment of the demand Whether penalty Ieviable under section 16 (1) of the Income Tax Act-Held no-Circular No. MLR-1 of 1969, para 16, as amended by Circular No. MLR-3 of 1969. Case followed: Commissioner of Income Tax v. Aziz-ud-Din (P L D 1975 Lah. 1477); (1976) 33 Taxation 258 (Lah.) JUDGMENT [The judgment of the Court was delivered by MUHAMMAD AKRAM J]. In this case a demand was created against the respondent-assessee for the payment of tax imposed on her on the excess income declared for the assessment year 1960-61 to 1968-69 under the Martial Law Regulation No. 32. On the 26th January, 1970 a demand notice was issued against her requiring her to pay the tax on or before 31st January, 1970. In spite of the demand notice and repeated reminders the respondent failed to pay the tax due from her. In these circumstances on the End of May, 1972 the income-tax Officer, Circle III, Lyallpur passed an order imposing a penalty against her under subsection (1) of section 46 of the Income-tax Act for failure to pay the tax, The assessee respondent filed an appeal (I.T.A. No. 24 of 1972-73) against the under imposing the penalty. On the 29th of October, 1973 the Income-tax Appellate Tribunal (Pakistan), Lahore: accepted Um zipped. In the opinion of the Tribunal the demand created in pursuance to the Martial Law Regulation No. 32 was not a tax as defined in section 2(14) of the Income tax Act, and consequently the provisions contained in subsection (1) of section 46 of the Act were not attracted for the imposition of the tax levied and demand created under the Martial Law Regulation No. 32. The Tribunal also accepted the objection raised on behalf of the assessee against the validity of the demand notice. 2. In these circumstances the Commissioner of income tax, Rawalpindi Zone, Rawalpindi has made this reference application directly to the High Court under section 66(1) of the Act referring the following two questions of law said to arise out of the appellate order passed by the Tribunal:- "(1)…

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