| Case ID |
3953b28d-3055-488e-bf46-36723436bc21 |
| Body |
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| Case Number |
Constitutional Petition No.1236 of 2008 |
| Decision Date |
Jan 14, 2009 |
| Hearing Date |
Dec 22, 2008 |
| Decision |
The Islamabad High Court ruled in favor of the petitioner, Fecto Belarus Tractors Limited, stating that the amendments made by the Customs (Amendment) Ordinance, 2002 and the Sales Tax (Amendment) Ordinance, 2002 were valid and did not violate the rights of the petitioner. The court emphasized that these amendments were necessary for the imposition of taxes and validated the actions taken under the Awami Tractor Scheme. The court also confirmed that the petitioner was entitled to all concessions regarding exemption from customs duty, sales tax, and service charges as per the original Awami Tractor Scheme. The court dismissed the petition filed by the respondents challenging the decision of the Lahore High Court regarding the concessions granted to the petitioner under the scheme, thus affirming the rights of the petitioner to operate under the previously established terms. |
| Summary |
The case revolves around the Awami Tractor Scheme initiated by the Government of Pakistan in 1994, which aimed to import tractors for local farmers. The petitioner, Fecto Belarus Tractors Limited, challenged the imposition of customs duty and sales tax on the tractors imported under this scheme. The Islamabad High Court examined the legal implications of the amendments made by the Customs and Sales Tax Ordinances, which were argued to be unconstitutional. The court highlighted the importance of ensuring the continuity of concessions provided under the original scheme and ruled that the amendments did not infringe upon the vested rights of the petitioner. This case serves as a significant precedent in tax law and the validation of legislative actions in Pakistan, particularly regarding the rights of companies engaged in government-sponsored schemes. |
| Court |
Islamabad High Court
|
| Entities Involved |
Government of Pakistan,
Ministry of Finance,
FECTO BELARUS TRACTORS LIMITED
|
| Judges |
MUHAMMAD MUNIR PERACHA, J
|
| Lawyers |
Muhammad Salman Aslam Butt,
Muhammad Waqar Rana,
Nasir Saeed Sheikh
|
| Petitioners |
FECTO BELARUS TRACTORS LIMITED through Chief Executive
|
| Respondents |
3 others,
GOVERNMENT OF PAKISTAN through Ministry of Finance,
Economic Affairs
|
| Citations |
2009 SLD 71,
2009 PTCL 317,
2009 PTD 390,
(2009) 99 TAX 394
|
| Other Citations |
Not available
|
| Laws Involved |
Sales Tax Act, 1990,
Customs Act, 1969,
Constitution of Pakistan, 1973
|
| Sections |
6,
19,
199,
187(2)
|