Peshawar - Khyber Pakhtunkhwa Highway Authority (KPHA) has received relief in an appeal filed against the deduction of Rs 1.247 billion from its fund by the Inland Revenue Regional Tax Office (RTO) Peshawar.
According to a press release issued by KPHA here on Wednesday, the case was filed with the Appellate Tribunal Inland Revenue (Islamabad), which directed Chief Commissioner Inland Revenue (RTO) Peshawar to refund the said amount to PKHA within 15 days.
According to the statement, the decision was made by a division bench of the Appellate Tribunal Inland Revenue in the exercise of powers conferred under Section 132(6) of the Income Tax Ordinance 2001. The order states that if the tribunal’s order for a refund of the amount is not followed within 15 days, the law will take its course.
The Revenue Department was also instructed in the order to gain public trust and confidence by acting prudently and recognising that taxpayers deserve respect for their contribution to national development.
Meanwhile, KPHA’s Managing Director thanked the Appellate Tribunal for providing relief to the department by issuing a directive to the revenue authorities to refund the deducted amount. The illegal deduction of such a large sum by RTO has resulted in the financial collapse of the province’s one and only Highways Development Organization, he added.