| Case ID |
00a25a6a-81c0-4c86-b94c-e584ffb79f33 |
| Body |
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| Case Number |
D-1212 of 1986 and 1170 of 1987 |
| Decision Date |
Dec 04, 1998 |
| Hearing Date |
|
| Decision |
The court dismissed C.P. No. 1212 of 1986, upholding the levy of export tax (Rawangi Mahsool) on goods manufactured in one district and stored in another as valid under the law. Conversely, C.P. No. 1170 of 1987 was allowed, declaring the levy of tax on goods stored in a Municipal area as unlawful. It was established that goods in transit from other Council areas are exempt from such tax, and the petitioner was entitled to seek recovery of amounts paid under coercion. The court emphasized that export tax is only applicable to goods moving out of District Council limits, reinforcing the need for clear definitions within the law to prevent unjust taxation. |
| Summary |
In the case of PAKISTAN TOBACCO COMPANY LTD. vs. GOVERNMENT OF SINDH, the Sindh High Court addressed the legality of export tax levied on goods in transit and the definitions surrounding such taxation under the Sindh Local Government Ordinance and related rules. The court analyzed the nature of goods stored in various locations, determining that goods manufactured outside the District Council limits and stored temporarily for distribution should not be subject to export tax. The ruling highlighted the importance of adhering to statutory definitions and the principles of lawful taxation, providing clear guidance for future cases involving export tax and goods in transit. This case serves as a significant reference for understanding export tax implications in Pakistan's legal framework, particularly for manufacturers and businesses engaged in interstate commerce. |
| Court |
Sindh High Court
|
| Entities Involved |
GOVERNMENT OF SINDH,
PAKISTAN TOBACCO COMPANY LTD.
|
| Judges |
RANA BHAGWAN DAS,
SABIHUDDIN AHMED
|
| Lawyers |
Noor Muhammad for Petitioners,
Muhammad Qasim Mirjat, A.A.G. for Respondents,
M. L. Shahani for Respondent No. 7,
Rasool Bux Unar for Respondent No. 2
|
| Petitioners |
PAKISTAN TOBACCO COMPANY LTD.
|
| Respondents |
GOVERNMENT OF SINDH,
Respondent No. 2,
Respondent No. 7
|
| Citations |
1999 SLD 863 = 1999 CLC 765
|
| Other Citations |
Pakistan Textile Mills Owners Association v. Administrator of Karachi PLD 1963 SC 137,
Wazir Ali Industries Limited v. Secretary to the Government of Sindh 1985 CLC 1843,
Ejaz Ahmad and others v. District Council, Sukkur 1990 CLC 1367,
Abid Hussain v. Government of Sindh PLD 1984 Kar. 269
|
| Laws Involved |
Sindh Local Government Ordinance (XII of 1979),
Sindh District Councils (Export Tax) Rules, 1976,
Constitution of Pakistan (1973)
|
| Sections |
60,
3(77),
12(2),
199
|