| Case ID |
f97aa476-6738-4a9f-91ce-988d457eeba7 |
| Body |
View case body. Login to View |
| Case Number |
C.P. No.834 of 2011 |
| Decision Date |
Sep 26, 2012 |
| Hearing Date |
|
| Decision |
The Supreme Court of Pakistan dismissed the petition for leave to appeal, affirming the Islamabad High Court's judgment. The court ruled that the excise duty was correctly levied based on the services rendered in Pakistan, and the petitioner's claim of being incorrectly labeled as a franchisee was not substantiated. The court emphasized that the determination of the excise duty should focus on services provided within the country, irrespective of their origin. The dismissal was supported by the lack of merit in the petitioner's arguments regarding the applicability of amendments made by the Finance Act of 2008. Thus, the previous judgment stands without any legal or jurisdictional errors. |
| Summary |
In the case of C.P. No.834 of 2011, the Supreme Court of Pakistan addressed the tax implications under the Federal Excise Act, 2005, focusing on the applicability of excise duties for services rendered in Pakistan. The case arose from a dispute involving Messrs C.M. PAK. LTD. and the Additional Commissioner, Inland Revenue, Islamabad. The core issue was whether excise duties could be levied on services originating from outside Pakistan but rendered within its borders. The court ruled that such duties were permissible based on the wording of Section 3(1)(d) of the Federal Excise Act, which emphasized services provided in Pakistan. The court found that the Islamabad High Court's decision to dismiss the tax reference was appropriate, as it was based on a correct interpretation of the law. This case highlights the importance of understanding tax obligations for international services and reinforces the principle that services rendered within the jurisdiction are subject to local taxation. Legal professionals and businesses engaged in cross-border services should take note of this ruling for compliance and planning purposes. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Messrs C.M. PAK. LTD.,
ADDITIONAL COMMISSIONER, INLAND REVENUE, ISLAMABAD
|
| Judges |
EJAZ AFZAL KHAN,
IIAZ AHMED CHAUDHRY
|
| Lawyers |
|
| Petitioners |
Messrs C.M. PAK. LTD.
|
| Respondents |
others,
ADDITIONAL COMMISSIONER, INLAND REVENUE, ISLAMABAD
|
| Citations |
2013 SLD 2048,
2013 SCMR 749
|
| Other Citations |
Not available
|
| Laws Involved |
Federal Excise Act, 2005
|
| Sections |
3,
34A
|