Law: Income Tax Ordinance, 2001

Section: 67,131

Law: Income Tax Rules, 2002

Section: 13

[Income Tax Ordinance (XLIX of 2001)].....Sections 67 & 131---Income Tax Rules, 2002, R.13---Apportionment of deduction---Taxpayer/Banking company filed return of income for relevant tax year declaring loss---Same was deemed to have been assessed under S.120 of Income Tax Ordinance, 2001---After completion of proceedings Additional Commissioner/Taxation Officer, recomputed the taxpayer's income and amended the order---On filing appeal by the taxpayer, Commissioner Income Tax (Appeals), vide impugned order, disposed of appeal partially---Validity---Questions needed to be framed envisaging the grounds of appeal were; (i) whether Additional Commissioner had rightly allocated/apportioned the profit and loss expenses towards the exempt income, (ii) whether Commissioner Income Tax (Appeals) was justified in confirming order of Additional Commissioner and whether the Commissioner Income Tax (Appeals) was justified in confirming the order of Additional Commissioner, who had confirmed the disallowance of provision of non performing loans which were allowable under S.29 of Income Tax Ordinance, 2001---Held, Commissioner Income Tax (Appeals) was justified in upholding the treatment meted out by the Assessing Officer and answer to the questions was in the affirmative---All the grounds of appeal had properly been addressed by the Commissioner Income Tax (Appeals) in judicial and lawful manner---Appeal filed by taxpayer being meritless, was dismissed. 2008 PTD (Trib.) 679; 2005 PTD 344; ,(2004) 92 Tax 128(sic); 1986 SCMR 1114; 1993 SCMR 1232; 1993 PTD 766; I.T.A. No.1615/KB of 200; 2005 PTD 2586; PLD 1974 Kar. 6; (1966) 13 Tax 210 (S.C. Pak.) and 2002 PTD (Trib.) 1898 rel. ORDER These appeals have been filed by the appellant/taxpayer Messrs Jahangir Siddiqui Investment Bank Ltd. (Now J.S. Bank Limited), Karachi against the consolidated orders dated 31-8-2009 passed by the Commissioner of Income Tax (Appeals-I), Karachi on the following grounds:- (I) Grounds for Tax year, 2005 (2) That the learned Commissioner of Income Tax (Appeals) was not justified in confirming the order of the Additional Commissioner who has erred in allocating/apportioning the allowable profit…