| Case ID |
2043708b-5c8f-44a8-b9aa-5952113d4c6a |
| Body |
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| Case Number |
Writ Petitions Nos. 4835, 4193 of 2006, 1842 of 20 |
| Decision Date |
May 28, 2014 |
| Hearing Date |
|
| Decision |
The Lahore High Court ruled against the imposition of professional tax, licensing, permit, and trade fees by local councils, stating that such taxes can only be levied by the Provincial Assembly through an Act. The court accepted the petitions from the petitioners, stating that the notifications issued for the imposition of these fees were not permissible under the Constitution of Pakistan. The court referenced previous judgments that supported this position, emphasizing the lack of authority of local councils in imposing such taxes. |
| Summary |
In the landmark case adjudicated by the Lahore High Court, the court addressed the legality of the imposition of professional taxes by local councils. The court emphasized the constitutional requirement that such taxes must be imposed by the Provincial Assembly through proper legislative processes. The case involved several writ petitions challenging the notifications issued by the Excise and Taxation Department. The court's ruling reinforced the principles of constitutional law and the separation of powers, ensuring that local councils do not overstep their authority in tax matters. This case is pivotal for understanding the scope of local government powers in Pakistan and sets a precedent for future cases involving taxation by local entities. Keywords: professional tax, local council authority, constitutional law, Lahore High Court, tax legislation. |
| Court |
Lahore High Court
|
| Entities Involved |
NEW CHAUDHRY FIBER,
EXCISE AND TAXATION DEPARTMENT
|
| Judges |
SHEZADA MAZHAR, J
|
| Lawyers |
Malik Muhammad Tariq Rajwana,
Rana Muhammad Hussain, A.A.G.
|
| Petitioners |
NEW CHAUDHRY FIBER through Sale Proprietor
|
| Respondents |
EXCISE AND TAXATION DEPARTMENT through Director and others
|
| Citations |
2015 SLD 61,
2015 PLD 369
|
| Other Citations |
ICI Pakistan Ltd. v. Tehsil Council, Pind Dadan Khan and others PLD 2007 SC 428,
Messrs Pakistan Telecommunication Company Ltd. through General Manager (South) v. Government of the Punjab through Secretary, Excise and Taxation Lahore and another 2002 CLD 1010,
Olympia Textile Mills through Aurengzeb Mannoo Authorised Director v. Province of the Punjab through Secretary and others 2004 MLD 814
|
| Laws Involved |
Constitution of Pakistan, 1973,
Punjab Finance Act, 1977
|
| Sections |
199,
Preamble
|