| Case ID |
41d1a63b-be1a-43b4-bc41-23ea6e5903e2 |
| Body |
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| Case Number |
Writ Petition No. 3018 of 2009 |
| Decision Date |
Nov 06, 2009 |
| Hearing Date |
Oct 29, 2009 |
| Decision |
The Lahore High Court dismissed the petition filed by GAS LINKS CNG (PVT.) LTD. against the levy of sales tax on electric power consumed by Compressed Natural Gas stations. The court ruled that the sales tax on electric power was valid and did not constitute double taxation, as the sales tax on natural gas was distinct and covered under specific provisions of the Sales Tax Act, 1990. The court reasoned that the petitioners had not demonstrated any illegality in the tax imposition and that claims for input tax refunds were premature, as no formal claims had been made. The High Court instructed that if any claims for refunds or adjustments were submitted in the future, they would be addressed in accordance with the law. |
| Summary |
The case revolves around the legality of sales tax imposed on electric power supplied to CNG stations, specifically focusing on whether this tax constitutes double taxation given the existing sales tax on natural gas. The petitioners argued that since they were already paying sales tax on natural gas, imposing an additional sales tax on electric power was unreasonable and violated their fundamental rights. The court clarified that the sales tax on electric power is a separate taxable supply and does not overlap with the tax on natural gas. The ruling emphasizes the legality of tax regulations under the Sales Tax Act, 1990, and outlines the process for any future tax refund claims, establishing the importance of following proper legal channels for such assertions. |
| Court |
Lahore High Court
|
| Entities Involved |
FEDERATION OF PAKISTAN,
GAS LINKS CNG (PVT.) LTD.
|
| Judges |
SH. AZMAT SAEED, J
|
| Lawyers |
Ch. Liaqat Ali Sandhu,
Rana Muhammad Abdul Qadoos,
Abdul Qadoos Mughal,
Muhammad Waseem Ch.,
Sajjad Sarwar Saqib,
Sh. Izhar-ul-Haq,
Kausar Parveen,
Dr. Irteza Awan
|
| Petitioners |
GAS LINKS CNG (PVT.) LTD. through Director, Faisalabad
|
| Respondents |
FEDERATION OF PAKISTAN through Secretary Finance, Islamabad,
Ch. Anwar-ul-Haq,
Aamir Sohail,
Khalid Nawaz Ghuman,
Majid Saeed Butt,
Rana Muhammad Afzal,
Muhammad Saqib Sheikh,
Bilal Ahmed Qazi,
Syed Ali Imran Rizvi,
Muhammad Nadeem Mirza,
Muhammad Akram Nizami,
Zeshan Amir,
Ajmal Khan,
Zulkernen Khan,
Muhammad Saleem Ch.,
Ch. Liaqat Ali Sandhu,
Rana Muhammad Abdul Qadoos,
Abdul Qadoos Mughal,
Muhammad Waseem Ch.,
Sajjad Sarwar Saqib
|
| Citations |
2010 SLD 165,
(2010) 101 TAX 184,
2010 PTCL 433,
2010 PTD 1
|
| Other Citations |
PTCL 2002 CL 415
|
| Laws Involved |
Sales Tax Act, 1990,
Constitution of Pakistan, 1973
|
| Sections |
3,
3(1),
7A,
71,
13,
16,
20(2)(c),
199
|