SHC stays collection of Infrastructure Cess in petition by an importer

KARACHI: An appellate bench of High Court of Sindh (SHC) comprising  Justice Aqeel Ahmed Abbasi and Justice Zulfiqar Ahmed Khan on Wednesday stayed the collection of Infrastructure Development Cess from petitioner company H. Sheikh Nooruddin & Sons, importers, manufacturers of textile items and other goods.

Adnan Motan Adovcate appearing for the petitioner challenged the vires of the “Sindh Development & Maintenance of  Infrastructure Cess Act 2017” which was introduced in 1994 through Finance Act. The said cess is charged on goods entering into Sindh province  at a rate of 0.1 per cent of the duty paid value, 0.2 per cent on the goods  which customs duty is to be paid outside the province and export goods at a rate of 0.5 per cent of the value of shipping bill.

The counsel relied on an order passed by the bench in an identical petition and prayed to the court to restrain the respondents from collecting the impugned cess till decision in the instant appeal.

The bench allowing the request  stayed the collection of cess till next date of hearing fixed to be Oct 15.

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