Islamabad:
During the hearing of a tax case, the head of the Constitutional Bank (CB) of the Supreme Court observed that the CB wanted to conclude the case expeditiously in view of the crucial hearings on requests that challenge the 26th constitutional amendment.
“The bank wants to conclude the case as soon as possible, since the hearings on the 26th constitutional amendment will begin on October 7,” said Judge Aminuddin Khan on Tuesday. Judge Khan led a Bank hearing of five members filed against the imposition of a super taxes.
In October of last year, the ruling coalition devastated the 26th constitutional amendment through Parliament in the midst of opposition protests.
The amendment introduced radical changes in the Judiciary, including the creation of CBS in the higher courts, an increase in the number of SC judges and changes in the procedure to appoint the president of the president of Pakistan.
Subsequently, several requests were presented in the SC challenging the amendment, and the petitioners argue that it was aimed at undermining judicial independence. Interestingly, the requests did not appear for the audience for almost a year and will now be addressed by a CB formed under the same amendment.
During Tuesday’s hearing on the case of taxes, the lawyer of the companies, Shehzad at Elahi, concluded his arguments. He argued that taxes should only be those applied in the ordinary course.
Judge Muhammad Ali Mazhar asked about the structure of the Finance Bill, noting that it applies to the next fiscal year and not retrospectively.
Elahi said that companies were willing to pay all taxes, but sought certainty. “We should not go to bed at night and wake up with a new tax imposed on the next morning. The purpose of promulgating a law is to solve an existing problem,” he argued.
Judge Mazhar observed that this problem arises every year, with new elements that arise every time.
The lawyer also argued that although a 30% tax had been imposed on companies, such an uninforcented tax had not been applied, citing a relevant ruling of the Sindh Superior Court.
After the presentations of Elahi, Judge Aminuddin Khan asked who would discuss below. At that time, Salman Akram Raja approached the gallery and said he would not take more than an hour.
Judge Khan commented that the bank had been told that Raja would adopt the arguments of Makhdoom Ali Khan. Raja said there was a specific point where he wanted to discuss. Khan suggested that he present his arguments tomorrow before the break, after which Farogh Naseem could begin.
Raja, however, informed the bank that it would not be available the next day and requested an hour the next day to conclude its arguments. The audience will resume today (Wednesday).
