| Citation(s) |
|---|
| 2026 SLG 154 = 2026 SLD 154 = 2026 SCP = 2026 PTCL 402 = (2026) 133 TAX 459 = 2026 PTD 1106 |
C.P.L.A. NO.663-P OF 2025 (Against order dated 07.07.2025 passed by the Peshawar High Court, Peshawar in STR No.109- P/2024.)
PRESENT: MR. JUSTICE MUNIB AKHTAR MS. JUSTICE MUSARRAT HILALI
For the Petitioner : Mr. Adnan Khattak, ASC For the
Respondent : N.R. Date of Hearing : 07.01.202
Commissioner Inland Revenue (Peshawar … Petitioner Zone), Regional Tax Office, Jamrud Road, University Town, Peshawar
VS
M/s Diamond Filling & CNG Station, … Respondent Jamrud Road, Peshawar
Law: Sales Tax Act, 1990
Section: 3B,11(2, 25(1), 25(2) ,30, 2(5AA)
Law: Auditor Generals (Functions, Powers, Terms and Conditions of Service) Ordinance, 2001
Section: 14,15
SUMMARY,
The case originated from a DGRRA (Director General of Revenue Receipt Audit, under Auditor General of Pakistan) audit observation against a private-sector respondent taxpayer. This led to a show cause notice (March 9, 2023) under s. 11(2), a recovery order, successful appeal to Commissioner (Appeals), upheld by Appellate Tribunal (October 24, 2024), and High Court dismissal via tax reference.
High Court's Key Holdings
The High Court ruled:
DGRRA audits lack authority for private taxpayers under s. 30 of the 1990 Act; revenue must conduct independent audits (citing Messrs Makk Beverages (Pvt.) Ltd., 2010 PTD 1355).