KARACHI: An appellate bench of High Court of Sindh allowed dozens of constitution petitions filed against imposition of Super Tax through a short order with detailed order to follow. The bench however suspended the judgment for 60 days allowing an opportunity to the federal government to file an appeal before Supreme Court of Pakistan.
The following is the text of judgment:
“The Petitioners have challenged the constitutionality of Section 4C of the Income Tax Ordinance 2001, and provisions appurtenant thereto, introduced vide Finance Act 2022, inter alia, upon grounds that the same unlawfully vitiates vested rights accrued in past and closed transactions; is discriminatory; confiscatory; demonstrably devoid of any intelligible differential having rational nexus with the object of classification; and amounts to impermissible double taxation. Arguments heard. For reasons to be recorded later and subject to what is set out therein by way of amplification or otherwise, these petitions are allowed in terms of and to the extent specified herein below: 1. Sections 4C of the Income Tax Ordinance 2001 is read to reflect that the levy shall be applicable from the tax year 2023. 2. Notwithstanding the foregoing, the 1 st proviso to Division IIB of Part I of the First Schedule to the Income Tax Ordinance 2001 is declared to be discriminatory, hence, ultra vires to the Constitution. The operation of this judgment shall remain suspended for a period of sixty days from the date hereof; hence, the securities furnished 3 pursuant to respective ad interim orders shall remain intact for the said period. The office is instructed to place copy of this order in each of the listed petitions”.