The Commissioner General of Inland Revenue vs. Classic Travels (Pvt) Limited – SC APPEAL NO.158/2018-2023

In Commissioner General of Inland Revenue v. Classic Travels (Pvt) Limited, the Supreme Court addressed whether the Tax Appeals Commission (TAC) was correct in annulling a tax assessment on preliminary objections, and whether remitting the matter for re-hearing subjected it to statutory time bar provisions under the Value Added Tax Act. The determination affirmed that the TAC possessed the authority to decide on preliminary objections where violations of natural justice and procedural irregularities were apparent, and that such annulment did not preclude a fair hearing for the taxpayer. The court underscored that while the TAC’s approach to preliminary objections was proper, applying the time bar on remittal was a legal error. The analysis relied on statutory interpretation and relevant ca