| Case ID |
e9549e3a-74a8-4f66-9a8f-5383f9d8ca9d |
| Body |
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| Case Number |
Civil Petitions Nos. 157, 158 and 159 of 1995 |
| Decision Date |
Jul 11, 1995 |
| Hearing Date |
|
| Decision |
The Supreme Court granted leave to appeal to consider the provisions of Section 4 of the Central Excises and Salt Act, 1944. The Court noted the respondents' grievances regarding the Assistant Collector's determination of sales tax, asserting that the wholesale cash price should be the basis for calculating sales tax. The respondents, who are companies manufacturing cement, contended that they had been paying sales tax correctly according to their ex-factory prices. The case highlighted the need for judicial interpretation of the term 'wholesale cash price', which had not been defined by the Superior Courts previously. Ultimately, the case was admitted to consider these important tax law implications. |
| Summary |
In the landmark case before the Supreme Court of Pakistan, the core issue revolved around the interpretation of tax laws under the Central Excises and Salt Act, 1944, particularly concerning the determination of the sales tax for cement manufacturers. The petitioners, the Central Board of Revenue, argued that the wholesale cash price should include additional charges such as loading and transportation for tax calculations. In contrast, the respondents, comprising major cement companies, defended their practices of excluding these charges, claiming compliance with existing tax regulations. This pivotal case not only addressed the specific tax obligations of cement manufacturers but also set a precedent for future tax law interpretations in Pakistan, emphasizing the need for clarity in tax regulations and the judicial system's role in resolving such disputes. The Supreme Court's decision to grant leave to appeal signifies the importance of this matter in the broader context of tax law and its implications for the manufacturing sector in Pakistan. Keywords include 'tax law', 'Central Excises and Salt Act', 'sales tax determination', 'Supreme Court of Pakistan', and 'cement industry regulations'. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Central Board of Revenue,
M/s Maple Leaf Cement Factory Limited,
M/s White Cement Industries Limited,
M/s Pak Cement Company Limited
|
| Judges |
MUHAMMAD MUNIR KHAN,
MIR HAZAR KHAN KHOSO
|
| Lawyers |
Mumtaz Ali Mirza,
Ch. Akhtar Ali,
Raja Muhammad Akram,
Manzoor Illahi
|
| Petitioners |
CENTRAL BOARD OF REVENUE
|
| Respondents |
Messrs MAPLE LEAF CEMENT FACTORY, LTD.,
M/s White Cement Industries Limited,
M/s Pak Cement Company Limited
|
| Citations |
1998 SLD 573,
1998 SCMR 1237
|
| Other Citations |
PLD 1993 SC 136
|
| Laws Involved |
Central Excise and Salt Act, (I of 1944),
Constitution of Pakistan, 1973
|
| Sections |
4,
185(3)
|