S.R.O. 416(I)/2003, Islamabad, the 16th May, 2003

SROS: S.R.O. 416(I)/2003, Islamabad, the 16th May, 2003 RECOVERY FROM M/S FLS PAKISTAN(PVT) LTD, HATTAR S.R.O. 416 (I)/2003, Islamabad, the 16th May, 2003:- WHEREAS, the Additional Collector, Sales Tax, Peshawar vide order in-original No.04/2000 dated the 17th January, 2000 adjudged the following amounts to be recovered from M/s FLS Pakistan(Pvt) Ltd, Industrial Estate, Hattar, namely:- (a) principal amount of sales tax(thirty two lac twelve thousand five hundred and sixty-eight rupees only) along with additional tax and penalty on account of incorrect adjustment of input tax in respect of machinery imported during the exempted period; (b) additional tax and penalty to be calculated at the time of payment on account of non-payment of sales tax in time on advances received by them; and (c) nine thousand five hundred and nineteen rupees only along with additional tax and penalty on account of non payment of further tax; AND WHEREAS M/s. FLS Pakistan(Pvt) Ltd, Industrial Estate, Hattar paid the principal amounts of sales tax(rupees thirty-two lac twelve thousand five hundred and sixty eight only) and(nine thousand five hundred and nineteen rupees only) and have requested for exemption of additional tax and penalty leviable thereon and the additional tax and penalty leviable on advances received by them on the following grounds, namely:- (a) incorrect adjustment of input tax happened due to the misconstruction of the then language of section 7 of the Sales Tax Act, 1990; as the words during the tax period were inserted in the section after the words input tax paid by the Finance Act, 1998(III of 1998); and (b) the concept of charging…