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Petitioner: COMMISSIONER OF INCOME-TAX VS Respondent: PAKISTAN OXYGEN LTD.
Court Name: Sindh High Court Judge(s): Nasir Aslam Zahid, Muhammad Hussain Adil Khatri Title: COMMISSIONER OF INCOME-TAX vs PAKISTAN OXYGEN LTD. Case No.: I.T.R. No. 465 of 1990 Date of Judgment:1991-05-30 Reported As: 1991 PTD 914 Result: Order accordingly
JUDGMENT
JUDGMENT MUHAMMAD HUSSAIN ADIL KHATRI, J.---The Income-tax Appellate Tribunal has referred the following question under section 136(1) of the Income Tax Ordinance, 1979: "Whether under the facts and circumstances of this case the surcharge is leviable on amount of taxes payable?" The aforesaid question was considered by a Division Bench of this Court I in the case of Commissioner, Income Tax v. Pakistan Tobacco Co. Ltd. Etc. 1988 PTD 66 and was answered in affirmative and after considering authorities on the subject it was held that the provision for taxation is retained income as requirement of working capital and is not liable for surcharge. The aforesaid authority was followed by this Bench in I.T.C. No.374/90 (Commissioner of I Income tax v. M/s. Sindh Alkalies (Pvt.) Ltd.) Following the earlier decision the question is answered in affirmative.