ORDER SHEET

IN THE HIGH COURT OF SINDH AT KARACHI

C.P. No.D-1362 of 2021

___________________________________________________________________ Date Order with signature of Judge

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FRESH CASE:

1. For order on CMA No.5715/2021 (Urgent).

2. For order on CMA No.5716/2021 (Exemption).

3. For order on CMA No.5717/2021 (Stay).

4. For hearing of main case.

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22^nd February 2021

Mr. Muhammad Saleem Mangrio, Advocate for Petitioner.

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1. Urgency granted.

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

3&4. Learned counsel for petitioner submits that pursuant to an order passed under Section 122(1) of the Income Tax Ordinance, 2001 dated 30.11.2020 by the respondents for the Tax Year 2018, petitioner has filed an appeal alongwith stay application before Commissioner Inland Revenue (Appeals-I), Karachi, which is still pending disposal, however, in view of the legal proceedings initiated by the respondents during pendency of appeal, petitioner was constrained to file a Constitutional Petition bearing No.D-134 of 2021, which has been disposed of vide order dated 19.01.2021 with directions to the respondents not to enforce the recovery of the disputed amount, which is subject matter of appeal till its final decision by the Commissioner (Appeals). However, according to the learned counsel, since the respondents could not make recovery of the disputed amount in view of the order passed by this Court, as referred to hereinabove, and they have malafidely initiated the proceedings under Section 182(2) of the Income Tax Ordinance, 2001 for imposing penalty upon the petitioner without any lawful justification or ground, whereas, the appeal against the impugned order passed under Section 122(1) of the Income Tax Ordinance, 2001 is still pending before the Commissioner Inland Revenue (Appeal-I), Karachi. It has been prayed by the learned counsel that respondents may be directed not to pass any final adverse order against the petitioner pursuant to the impugned show-cause notice under section 182(2) of the Income Tax Ordinance, 2001 till final decision of the appeal pending before Commissioner Inland Revenue (Appeal-I), Karachi.

Let pre-admission notice be issued to the respondents as well as D.A.G, to be served through first three modes, for a date to be fixed after two weeks, when comments, if any, shall be filed with advance copy to the learned counsel for petitioner. In the meanwhile, petitioner may submit response to the impugned show-cause notice under Section 182(2) of the Income Tax Ordinance, 2001 by raising all such factual and legal position, which shall be taken into consideration by the respondents in accordance with law. However, till next date of hearing, respondents may not pass any final adverse order against the petitioner pursuant to the impugned show cause notice.

J U D G E