ISLAMABAD: The Appellate Tribunal Inland Revenue (ATIR) Lahore has unanimously held that the foreign companies have to file Board Resolution and Power of Attorney with the ATIR through their respective Foreign Offices of Pakistan and foreign countries.

It is reliably learnt that a landmark order has been passed by the Lahore Bench of ATIR wherein applications by a foreign company have been dismissed unanimously, while a penalty was also imposed which was deposited with the High Court dispensary.

Earlier, office of FTO Dr Asif Jah has also summoned Member Operations, FBR, CTO, RTO Lahore Chief Commissioners for their meaningful silence to avoid investigation before FTO regarding their failure to take measures to recover unchallenged huge tax demands from a Chinese company for the Tax Years 2007 to 2012.

When contacted Lahore based tax lawyer Waheed Shahzad Butt told this correspondence that earlier ATIR by using own motion powers has declared that ATIR cannot entertain an appeal under Section 131 without any written order passed/issued by the Commissioner (Appeals) under Section 129 and ordered for delisting of appeals filed by a China-based taxpayer Thereafter, Chinese company approached the ATIR in rectification jurisdiction, which has been dismissed by a Full Bench.

ATIR order stated that the “Counsel for the applicant was directed to assist this Tribunal and file corroborative documentary evidence, in shape of Board Resolution and Power of Attorney, duly routed through Foreign Offices of Pakistan & Peoples Republic of China, through which the applicant has been authorized to file the instant miscellaneous applications and due to lack of these basic documents, instant applications are not maintainable.

Learned counsel in response to above mentioned queries, has candidly given his reply “in Silence”, because he was handicapped to meet the query as there exists no Board Resolution for filing of appeals/applications. Admittedly the applicant had approached this Tribunal for rectification of order against which Reference Applications were not filed and limitation for this purpose had expired, ATIR ordered.

Copyright Business Recorder, 2023


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