2003 PTD 403

M.A. (Rect.) No.418/KB of 2002 in I.T.A. No. 415/KB of 2001, decided on 20th September, 2002. Versus M.A. (Rect.) No.418/KB of 2002 in I.T.A. No. 415/KB of 2001, decided on 20th September, 2002.

Citation2003 PTD 403

CourtIncome Tax Appellate Tribunal

ORDER

This rectification application has been submitted by the department which is represented by Mr. Shoaib Ahmed Sethi, D.R. because Syed Tanveerul Haq, Taxation Officer, Circle‑03, Cos. Zone‑V, Karachi has failed to appear alongwith records although he had shown his intention to assist the Bench as per his Letter No. TO/CIR‑03/Cos V/2002‑2003/36 dated 16‑9‑2002.

2. The departmental appeal for the assessment year 2000‑2001 was decided by this Tribunal vide I.T.A. No. 415/KB/SB of 2001 dated 21‑2‑2002. It was held that the Society is not included in the definition of company and therefore, the Assessing Officer was not justified in charging minimum tax under section 80D of the Income Tax Ordinance, 1979. In the miscellaneous Application the department has contended that through an amendment by Finance Act, 1999 all persons were made liable to minimum tax under section 80D and therefore, the Tribunal has made a mistake apparent from record in deciding that minimum tax was not applicable on Society even if it was not to be treated as a company.

3. We have considered the submissions of the learned D.R. on behalf of the department but we have found that the application moved by the department is misconceived. Section 80D of the Income Tax Ordinance, 1979 was inserted by 'Finance Act, 1991 and the minimum tax was made chargeable in cases of companies only. Then through an insertion by Finance Act, 1992 registered firms were also included as assessees from whom minimum tax was liable to be charged. By Finance Act, 1999, "an individual, an Association of persons, an unregistered A firm, or a Hindu undivided family" were also made liable to pay minimum tax 'under section 80D. The Tribunal has held in its order dated 21‑2‑2002 that a Society is an artificial juridical person. The artificial juridical persons have. not been made liable to minimum tax under section 80D through insertion by the Finance Act, 1999.

4. The miscellaneous application being misconceived is hereby rejected.

C.M.A./573/Tax (Trib.) Application rejected,