Islamabad High Court (IHC), on Friday, dismissed a petition challenging the jurisdiction of Directorate General of Intelligence and Investigation (IRI) Inland Revenue.
As the hearing went underway, IHC Chief Justice Athar Minallah ruled, “This court is satisfied that respondents [IRI] are vested with powers and jurisdiction to perform duties and function under section 172 of the Income Tax Ordinance of 2001 on the basis of powers conferred vide SRO No. 115.”
The petitioner, a taxpayer, had called on the high court challenging a notice served by the Directorate General in pursuance of its powers under section 176 (1)(b) the Income Tax Ordinance, 2001.
The petitioner had contended that the respondent did not have powers and jurisdiction to issue him a notice.
However, the state lawyer said the IRI had been established by the statute itself while referring to the powers vested in accordance with the section 176 of the Ordinance of 2001 notified vide SRO 115(1)2015 dated February 9, 2015.
The directorate and other subordinate designations were established under section 230 of the Ordinance of 2001, he maintained.
The bench ruled: “The argument raised by the petitioner’s counsel is therefore misconceived.
There is also no force in the argument that since SRO 116 has been declared ultra vires, therefore respondents are no more vested with jurisdiction under the Ordinance of 2001.”
