| Case ID |
1b7aa093-c155-47ee-9ef1-d7817dccfaac |
| Body |
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| Case Number |
D-1259 of 2013 |
| Decision Date |
May 31, 2013 |
| Hearing Date |
May 08, 2013 |
| Decision |
The Sindh High Court ruled in favor of the petitioners, stating that the advance income tax under section 148 of the Customs Act, 1969, should be collected at the reduced rates specified in clauses (9) and (9A) of Part-II of the Second Schedule. The Court highlighted that the relevant acts, such as entering into the contract of purchase or issuance of invoice, were completed before the issuance of S.R.O. 140(I)/2013, which omitted these clauses. Therefore, the petitioners are entitled to the benefit of the reduced rates despite the omission of these clauses by the time the goods arrived in Pakistan. |
| Summary |
The case of Muhammad Anwar vs. Federation of Pakistan addressed the applicability of advance income tax on imported goods under section 148 of the Customs Act, 1969. The petitioners argued that they should benefit from reduced tax rates as outlined in clauses (9) and (9A) of the Second Schedule, despite these clauses being omitted by S.R.O. 140(I)/2013. The High Court concluded that the omission should not apply retrospectively to transactions executed prior to the issuance of the S.R.O., thereby allowing the petitioners to pay the reduced rates. This ruling emphasizes the importance of contract timing in tax law and sets a precedent for similar cases. |
| Court |
Sindh High Court
|
| Entities Involved |
Not available
|
| Judges |
GHULAM SARWAR KORAI,
MUNIB AKHTAR
|
| Lawyers |
Not available
|
| Petitioners |
MUHAMMAD ANWAR
|
| Respondents |
5 others,
FEDERATION OF PAKISTAN through Secretary, Revenue Division, Pakistan Secretariat, Islamabad
|
| Citations |
2013 SLD 181,
2013 PTD 1568
|
| Other Citations |
Lucky Cement Ltd. v. Federation of Pakistan and others C.P. D-216 of 2013, decided on 26-2-2013,
Al-Haj Industrial Corporation (Pvt.) Ltd. v. Collector of Customs (Appraisement) 2004 PTD 801 (DB),
Crescent Pak Industries (Pvt.) Ltd. v. Federation of Pakistan and others 1990 PTD 29 (DB),
Ahmed Investment (Pvt.) Ltd. v. Federation of Pakistan and another 1994 PTD 575 (DB),
Hashwani Hotels Ltd. v. Government of Pakistan and others 2007 PTD 1473,
Al Samrez Enterprise v. Federation of Pakistan 1986 SCMR 817,
M.Y. Electronics Industries (Pvt.) Ltd. and others v. Government of Pakistan and others 1998 SCMR 1404
|
| Laws Involved |
Customs Act, 1969
|
| Sections |
148,
Second Schedule
|