| Case ID |
1ac128a5-c7f3-4cbb-ad48-694c71a99dfd |
| Body |
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| Case Number |
Writ Petition No. 17004 of 2010 |
| Decision Date |
Sep 13, 2011 |
| Hearing Date |
|
| Decision |
The Lahore High Court dismissed the constitutional petition filed by Pakistan Steel Mills Corporation (PVT) LTD against the notice issued by the Province of Punjab regarding the submission of documents for the assessment and finalization of professional tax. The court ruled that the Province of Punjab had the legal authority to levy professional tax on the petitioner, which operates a sales office in Lahore, despite the petitioner already paying professional tax to the Sindh Government. The court emphasized the constitutional provision allowing provincial assemblies to impose taxes on professions, trades, and callings within their jurisdiction. The ruling affirmed that the petitioner’s business activities in Punjab warranted the imposition of the tax, and there was no legal barrier preventing Punjab from collecting it. |
| Summary |
In the case of Pakistan Steel Mills Corporation (PVT) LTD vs. Province of Punjab, the Lahore High Court addressed the legality of a professional tax imposed by the Punjab Government on a company registered in Sindh but operating a sales office in Lahore. The petitioner contended that since they were already paying professional tax to the Sindh Government, the Punjab Government lacked the authority to levy such a tax. However, the court clarified that provincial assemblies have the constitutional right to impose taxes on entities engaged in trade or profession within their territories. The ruling underscored the importance of compliance with local tax regulations for businesses operating across provincial borders. This case highlights the complexities of tax jurisdiction in Pakistan and the need for corporations to navigate the legal landscape effectively to avoid disputes. Keywords: professional tax, constitutional law, tax jurisdiction, Punjab Government, Sindh Government, Lahore High Court. |
| Court |
Lahore High Court
|
| Entities Involved |
Province of Punjab,
Pakistan Steel Mills Corporation (PVT) LTD
|
| Judges |
IJAZ UL AHSAN, J
|
| Lawyers |
Mian Sarfraz ul Hassan,
Faisal Zaman Khan, Addl. A.G
|
| Petitioners |
PAKISTAN STEEL MILLS CORPORATION (PVT) LTD
|
| Respondents |
PROVINCE OF PUNJAB through Chief Secretary and others
|
| Citations |
2012 SLD 379,
2012 PLD 103
|
| Other Citations |
PLD 2005 SC 988,
W.P. No.5692 of 2009
|
| Laws Involved |
Constitution of Pakistan, 1973,
Punjab Finance Act (XV of 1977)
|
| Sections |
3,
3(47),
163,
199,
260,
3
|