| Case ID |
0a03e75b-5671-493b-917a-7898ce4036f8 |
| Body |
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| Case Number |
Civil Petition for Leave to Appeal No.304-L of 199 |
| Decision Date |
Apr 13, 2000 |
| Hearing Date |
Apr 13, 2000 |
| Decision |
The petition for leave to appeal was directed against the Lahore High Court's judgment dated 16-12-1998, where a writ petition was partly accepted. The notification dated 20-12-1997 issued under subsection (1) of section 8 of the Sales Tax Act, which denied the respondents the right to reclaim or deduct output tax on certain goods, was challenged. The Supreme Court found that the respondents should have approached the appropriate forums as stipulated under the Sales Tax Act before invoking constitutional jurisdiction. The court converted the petition into an appeal and decided it in accordance with previous judgments on similar cases, reinforcing the necessity of following prescribed legal processes. No order as to costs was issued. |
| Summary |
The case revolved around the interpretation of the Sales Tax Act (VII of 1990), specifically section 8, and its application regarding the input tax deductions claimed by the respondents, ITTEHAD CHEMICALS LIMITED. The Supreme Court addressed the procedural correctness of the respondents' approach to the High Court without first exhausting the available remedies under the Sales Tax Act. The Court underscored the importance of adhering to legal protocols and the necessity of a specific denial from the tax department to invoke constitutional jurisdiction. The ruling affirmed the principle that taxpayers must follow the legal avenues provided by the Sales Tax Act before escalating disputes to higher courts. This case highlights the procedural aspects of tax law and serves as a precedent for similar future disputes, emphasizing the importance of clear legal pathways for tax-related claims. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
COLLECTOR OF SALES TAX,
ITTEHAD CHEMICALS LIMITED
|
| Judges |
SH. RIAZ AHMAD,
MUNIR A. SHEIKH,
RANA BHAGWANDAS
|
| Lawyers |
A. Karim Malik, Advocate Supreme Court,
Muhammad Aslam Ch. Advocate-on-Record,
Muhammad Akram Sheikh, Senior Advocate Supreme Court,
Mehmudul Islam, Advocate-on-Record
|
| Petitioners |
COLLECTOR OF SALES TAX
|
| Respondents |
2 others,
ITTEHAD CHEMICALS LIMITED
|
| Citations |
2006 SLD 2390,
2006 SCMR 48
|
| Other Citations |
Writ Petition No.5958 of 1998,
Writ Petition No.9272 of 1998,
Civil Petitions Nos. 1986/L, 1987/L, 1995/L, 1996/L, 2012/L, 2013/L, 2016/L, 2019/L, 2020/L of 1998
|
| Laws Involved |
Sales Tax Act (VII of 1990),
Constitution of Pakistan (1973)
|
| Sections |
8,
185(3)
|