ORDER SHEET

IN THE HIGH COURT OF SINDH AT KARACHI

C.P. No.D-1141 of 2021

___________________________________________________________________ Date Order with signature of Judge

___________________________________________________________________

FRESH CASE:

1. For order on CMA No.4786/2021 (Urgent).

2. For order on CMA No.4787/2021 (Exemption).

3. For order on CMA No.4788/2021 (Stay).

4. For hearing of main case.

-----------

15^th February 2021

Mr. Muhammad Mushtaq, Advocate for Petitioner.

-*-*-*-*-*-

1. Urgency granted.

2. Exemption granted, but subject to all just exceptions.

3&4. Learned counsel for the petitioner submits that case of the petitioner for the Tax Year 2015 was selected for audit under Section 214D of Income Tax Ordinance, 2001 and a notice was issued which was duly responded by the petitioner, however, no order was passed by respondents. Per learned counsel, provision of Section 214D of Income Tax Ordinance, 2001 was repealed by Finance Act, 2018, whereas, respondents have issued a notice under Section 122(1) for the tax year 2015 on the basis of earlier notice issued under Section 214D read with Section 176 & 177 of the Income Tax Ordinance, 2001 for the tax year 2015, which is without lawful authority. It has been prayed that since provision of Section 214D is no more available in the Ordinance, therefore, no action or proceedings can be continued under the aforesaid Section. Learned counsel for the petitioner submits that similar controversy is already pending before this Court in a number of petitions, including C.P.No.D-412/2021 [Re: M/s. United Carpets Ltd. v. Pakistan through Secretary (Revenue Division) and others], wherein, notices have been issued to the respondents, who have been restrained from passing any final adverse order against the petitioner. In support of his contention, learned counsel has referred to the order dated 20.01.2021, passed by this Court in the aforesaid Petition, copy of which is available at Pages 59 to 63 of instant file, hence prays accordingly.

Let pre-admission notice be issued to the respondents as well as DAG, to be served through first three modes, for 11.03.2021, when instant petition may be taken up alongwith aforesaid petition, whereas, comments, if any, shall be filed with advance copy to learned counsel for the petitioner. However, till next date of hearing, the respondents shall not pass any final adverse order against the petitioner.

J U D G E