03/01/2026
The Appellate Tribunal has held that the Commissioner Inland Revenue (Appeals) lacks the authority under section 45B(3) to remand a case for de novo proceedings. It was noted that a show cause notice that does not meet the mandatory legal requirements and is deemed coram non judice renders all subsequent proceedings based on such notice null and void. In these circumstances, the appellate authority is obligated to decide the matter in favor of the taxpayer, rather than remanding the case back to the department. The Tribunal further emphasized that repeated remands amount to granting the tax department an unlawful opportunity to rectify fundamental legal defects, which is not permissible in law. Accordingly, the orders passed by both lower authorities were set aside, and the taxpayer's appeal was allowed. 2017 PTD 373 Hafiz Umer Israr Advocate High Court Member LTBA Member LHBA
