Law: Income Tax Ordinance, 2001

Section: 205(3),205,137,161,137(2),161(1)

Muhammad Junaid Ghaffar, J: 1. Through this Petition, the Petitioner has impugned Show Cause Notice(s) dated 18.06.2020 issued under Section 205(3) of the Income Tax Ordinance, 2001 (Ordinance) for tax years 2017, 2018 and 2019 for payment of default surcharge on amount of tax not withheld or deducted by the Petitioner as withholding agent in terms of section 153 of the Ordinance. 

2. Learned Counsel for the Petitioner submits that for tax years 2017 & 2018, the Petitioner was issued Notice under Section 161 and 205 of the Ordinance, and for tax year 2019 under s.161 ibid, where after pursuant to order 12.03.2020 the adjudged amount was paid as per demand notice under Section 137(2) of the Ordinance. He submits after payment of the entire amount as claimed; impugned Notice(s) have been issued which according to him are without lawful authority and jurisdiction. He submits that no further Notice can be issued in these circumstances for recovery of Default Surcharge which was never adjudicated by the officer concerned, whereas, the amount was paid without further appeal; hence, the impugned notice(s) is liable to be setaside. Per learned Counsel after passing of an ad-interim order and its service, in order to frustrate this petition, an order has been passed after office hours and in view of the changed circumstances the relief sought may be molded by also setting aside the said order.