Cantonment board’s tax collection challenged

Supreme Court serves notice to attorney general for Pakistan for assistance

ISLAMABAD:

The Supreme Court on Thursday adjourned the hearing of a case, challenging the receipt of taxes from restaurants, banks and poultry farms by the Cantonment Board Karachi, till October 13.

The apex court also served notice to the attorney general for Pakistan for assistance.

A three-member bench led by Chief Justice of Pakistan (CJP) Qazi Faez Isa heard the case.

During the proceedings, the chief justice noted that the federal or provincial governments could impose taxes. He questioned how a cantonment board could impose tax on professionals.

The additional attorney general replied that the local government was also an elected body and authorized to impose taxes.

The chief justice asked if tax was imposed on lawyers then would it be collected by a local body.

Justice Athar Minallah pointed out that the objection was that the local government could not impose tax under Article 163 of the Constitution.

The chief justice said that the court could not ignore the Constitution, and asked how the authority to collect tax could be given to someone else.

Later, the court adjourned hearing of the case till October 13.