Cantt boards cannot collect property tax: SHC

Says post 18th Constitutional Amendment, property tax devolved to provinces, local govts

A file photo of the Sindh High Court building.

KARACHI:

The Sindh High Court (SHC) in a historic ruling on Thursday declared the collection of property tax by cantonment boards as illegal.

The court, however, granted a 30-day suspension of the decision at the request of the cantonment boards’ lawyer.

During hearings on petitions challenging this practice, the petitioner’s lawyer argued that, following the 18th Constitutional Amendment, cantonment boards lost the authority to levy and collect property tax, which should be under the jurisdiction of local governments.

The cantonment boards’ counsel expressed intent to approach the Supreme Court against the SHC decision, requesting respite.

On the other hand, the petitioner’s counsel emphasised that after the passage of the 18th amendment, which devolved powers to the provinces, the cantonment boards should cease collecting property tax, as the power to do so lies with the local government now.

The court, noting the abolition of the Concurrent List from Fourth Schedule after the 18th amendment, declared the property tax collection by cantonment boards illegal. It further stated that taxes collected by the boards post 18th amendment should be returned to the residents.

The court granted a 30-day suspension of the decision at the request of the cantonment boards’ lawyer.

Towns tax collection challenged

The Sindh High Court has issued notices to mayor Karachi and the chairmen of the Town Municipal Corporations of Gadap and Ibrahim Hayderi among others on the petition against tax collection on cattle bringing to the city.

The petitioner also challenged the practice of the local government of allowing animals from other areas to enter the municipal limits without vaccination.

A two-member bench headed by Acting Chief Justice of Sindh High Court, Justice Aqeel Ahmad Abbasi, heard the petition of Dairy Farmers Association President Shakir Gujjar through his lawyer Usman Farooq Advocate.

He stated that allowing cattle to enter the city without vaccination puts citizens at risk of diseases.

Moreover, the petitioner contended that as per law TMCs cannot collect tax on sale and registration of animals.

Usman Farooq Advocate also pointed out that no audit system for tax collection exists in TMCs. Subsequently, the bench issued notices to Gadap and Ibrahim Hayderi TMC chairmen and city mayor.

Sakrand killings

SHC ordered to continue the judicial inquiry and restricted the concerned magistrate from making a judgment on the police C-class report on the plea regarding the judicial investigation and the arrest of the accused in the case of killing civilians in Skarand Mari Jalbani.

A two-member bench consisting of Justice Naimatullah Phulpoto and Justice Amjad Ali Sahito heard the plea of Tehmas Rashid A. Rizvi.

The lawyer of the petitioner, Barrister Haider Imam Rizvi, argued that police are classifying the case as C class and have submitted the report to the concerned court. A clear and transparent investigation should be conducted.

Justice Naimatullah Phulpoto questioned the DIG, stating, “Tell us what you’ve concluded.”

DIG Shaheed Benazirabad responded that the provisional challan of the case has been submitted to the concerned court. We reviewed the witness accounts, but they don’t lend credence to the case. SHO and the investigating officer (IO) have investigated the case.

Judge Naimatullah Phulpoto asked, “What happened? The police were told to go into this further in the previous ruling.”

DIG said that a team consisting of honest officers from across the district has been formed to look into the matter. Statements of witnesses were recorded, and a report was prepared.

Justice Amjad Ali Sahito remarked that your SSP had told that accused were unknown. You claim that the defendants’ faces were covered.

Barrister Haider Imam Rizvi stated that these people sometimes say that they have been killed in the shootout, and sometimes they say that they have been killed by unknown suspects.

The court also restrained the concerned court from ruling on the C-class report. The court ordered DIG Shaheed Benazirabad to continue the investigation while adjourning the hearing till January 15.

Published in The Express Tribune, December 15th, 2023.

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