Law:

Section:

(a) Income Tax Rules, 2002--- ----Rr. 158 & 194---Income Tax Ordinance (XLIX of 2001), Ss. 237 & 239(7)---Constitution of Pakistan (1973), Art. 199---Constitutional petition---Tax payable by company demanded from its Director through recovery notice---Validity---Such company was a family company as husband, wife and other family members were sponsors-cum-Directors thereof---Entire management, assets, calculation and disbursement was in hands of petitioner-Director---Petitioner, unless protected by law, could not be allowed to run away from his liability to pay tax---Petitioner had alternate remedy of appeal under R.194 of Income Tax Rules, 2002 against recovery notice issued under S.158 thereof---Appellate Authority could look into validity of such notice and adjudge its legality and propriety---High Court dismissed constitutional petition in limine. (b) Interpretation of statutes--- ----Provision providing benefit and removing some apparent injustice would always be treated as welcome relief and generally would be treated retrospective in effect. JUDGMENT KHAWAJA FAROOQ SAEED, J.---This writ petition has been filed against the attachment order, dated 27-1-2009 passed by respondent No.3 through which the Director of the company has been asked to pay the tax which basically is due against the company. 2. The brief facts of the case are that the petitioner was director of the company namely "Zeal Electric Industries Limited". It is a public limited company, though, not quoted. The Income Tax department has created certain taxes the payment of which is still outstanding against the said company. The Taxation Officer, therefore, has issued the notice to the director for the payment and has consequently shown its intention of attachment as well as sale of her personal property. 3. The claim of the petitioner is that the company is a separate legal entity which can obviously sue and be sued against. It is responsible for all its acts by itself and a demand created against the said legal entity cannot be enforced against any other being its Director. The demand in respect of assessment year 1980-81 under the provisions of Income Tax Ordinance, are enforceable…

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