Law:

Section:

IN THE APPELLATE TRIBUNAL INLAND REVENUE, LAHORE BENCH, LAHORE     ORDER This appeal has been filed by the against the impugned order dated 09.11.2020 by the Learned CIR (Appeals-V), Lahore. Succinctly facts of the case are that the taxpayer a NPO/NGO is engaged in the business of Other Education n.e.c (Education Activities). This is second round of appeal. Original assessment was completed by imposing withholding tax on account of non deduction of tax u/s 153(1 )(a) against payments received for supplying of furniture to various organizations. The taxpayer filed appeal before CIR appeals and case was remanded back for revisit after giving due hearing to the taxpayer. Consequently reassessment proceedings initiated by the assessing office and after obtaining the reply the assessing officer passed the impugned order u/s 162/124 of the Income Tax Ordinance, 2001 creating a demand of Rs.5,871 ,484/- by repeating the original assessment. In appeal, the Learned CIR (Appeals) annulled the assessment for the reasons and factors as embodied in the impugned order. This has brought the revenue in appeal before this forum. Case was fixed for hearing by issuing notice in response to which the learned DR represented the Department and the learned AR represented the taxpayer. The learned DR made the following pleadings:-                                                       That the order of the learned Commissioner of Inland Revenue (Appeals-V). Lahore bearing No.09/A-V dated 09.11.2020 is against the law and contrary to the facts of the case. That the learned CIR (Appeals-V) was not justified to annul the order dated 15.01.2020 thereby ignoring that the taxpayer was allowed sufficient opportunities of being heard however he failed to validate its claim with the documentary evidence in shape of verification slips from AGPR despite availing sufficient opportunities of being heard through issuance of several notices as mentioned in the body of assessment order. That the CIR (Appeals-V) was not justified to accept the evidence/record…