COMMISSIONER OF INCOME TAX/WEALTH TAX VS SARHAD DEVELOPMENT AUTHORITY, PESHAWAR, 2007 PTD-SUPREME-COURT 2012 (2006)

(On appeal against the judgment, dated 9-9-2001 passed by the Peshawar High Court, Peshawar in F.A.O. Nos. 175-177 of 000).

Income 'Car Ordinance (XXX1 of 1979)---

----S. 19---Income from property---Liability of tax---Decision of appeal by High Court while relying upon judgment of Indian Supreme Court reported as 1991 PTD 286---Validity---Question discussed in said judgment was different from issue involved in appeal before High Court i.e. whether tax would be charged on total lease money of each plot received in advance in a year or same would be charged proportionately on each plot per year in respect of plot leased out by assesses---Supreme Court set aside impugned judgment and remanded case to High Court for its decision afresh in accordance with law.

K.S. Krishna Rao v. Commissioner of Income Tax Andhra Pradesh 1991 PTD 286 distinguished.

Malik Muhammad Nawaz, Advocate Supreme Court and Raja Abdul Ghafoor, Advocate-on-Record for Petitioner.

Abdul Latif Yousafzai, Advocate Supreme Court and Imtiaz Ali, Advocate Supreme Court for Respondents.

ORDER

IFTIKHAR MUHAMMAD CHAUDHRY, C.J.---After hearing learned counsel we are of the opinion that learned High Court has relied upon the judgment in the case of K.S. Krishna Rao v. Commissioner of Income Tax Andhra Pradesh (1991 PTD 286 Supreme Court of India), but the issue discussed therein is different from the issue involved in this case namely whether the Tax is to be charged on total lease money of each plot received in advance in the year in which such lease mousy was received by the respondent or it is to be charged proportionately on each plot per year in respect of the plot leased out by the respondent etc. When we confronted learned counsel for parties with this distinction, they both agreed for remand of the case to the learned Peshawar High Court, Peshawar for fresh decision of the appeals in accordance with law after providing opportunity of hearing to all concerned.

Appeals arc allowed, impugned judgment is set aside, cases are remanded to the Peshawar High Court, Peshawar for decision afresh in accordance with law after providing opportunity of hearing to all concerned within a period of six weeks after receipt hereof.

S.A.K./C-11/SCCase remanded.