SALES TAX CIRCULAR NO. 3 OF 1994,

DATE 14th APRIL , 1994

 

SUBJECT:--    IN-CORRECT FORMAT OF ORDERS –IN-ORIGINAL, ORDERS-IN-APRIL—RECTIFICATION THEREOF.

 

It has been observed that orders-in-original and orders in appeal passed by quasi- judicial authorities do not mention the relevant section and orders of the Sales Tax Act, 1990 under which order-in-appeal passed by Collector of Appeals indicate at Serial No. 9 of the format of the order that the appellant, if dissatisfied with the order in appeal may file a revision application to the Federal Government.

 

2.     In Sales Tax Act, there is not provision for revision by the Federal Government. If a person is aggrieved by the decision of the Collector (Appeals) he can file an appeal to the Appellate Tribunal under section 46 of the Sales Tax Act, since Appellate tribunal has not been constituted. Member (Judicial) Central Board of Revenue has been allowed to hear appeals under section 46 of the Sales Tax Act. (Reference General Order No. 5 of 1991 dated 23-10-1991).

3.       If a registered person or a Collector is not satisfied with an order passed by Appellate Tribunal/Member (Judicial) he may take further action in accordance with the provisions of section 47 of the Sales Tax Act. However, it may pleas be noted that a reference application under Section 47 can be made on QUESTION OF LAW ONLY. Moreover, this question of law must arise from the order passed under section 46 of the Act,. The Sales Tax law does not permit any reference under section 47 on a QUESTION OF FACT decided through an order passed under section 46 of the Act.

4.     In view of above, it is advised that:

                (a)  All orders passed by Officers of Sales Tax in any proceedings initiated by them must indicate the section of Sales Tax Act under which the order is being passed:

                (b)  Serial No. 9 of the preface of orders-in-appeal used by appellant Collectors may be suitable amended to indicate that if the appellant or the Department is dissatisfied with the decision, he may file an appeal to the Appellate Tribunal/Member (Judicial) Central Board of Revenue as per the provisions of section 46 of the Sales Tax Act, 1990; and

                (c)  Similarly, the orders passed under section 46 may indicate that questions of law arising out of that order can be referred to the Honorable High Court through the Appellate Tribunal as per the provisions of section 47 of the Sales Tax Act.

 

Mr. Akhtar Ali,

Secretary (STP)