Oil prices: Govt’s reply sought on sales tax challenge
The court sought a reply from the federal government by January 7
Petitioners' counsel argued that the government was not passing on the benefits of a global reduction in prices of petroleum products to citizens.. PHOTO: LHC.GOV.PK
LAHORE:
Lahore High Court (LHC) sought a reply on Friday from the federal government on multiple petitions challenging the five per cent increase in general sales tax on petroleum products.
Advocate Ishtiaq Chaudhry and Naeem Mir, a trade leader, said the increase in sales tax from 17 to 22 per cent was illegal.
Their counsel argued that the government was not passing on the benefits of a global reduction in prices of petroleum products to citizens.
He said the government had nominally reduced oil prices but simultaneously increased the sales tax. He said the Federal Board of Revenue had issued a notification announcing a raise in sales tax.
The counsel said that the announced hike was illegal. The court then sought a reply from the federal government by January 7.
Published in The Express Tribune, January 3rd, 2014.
Lahore High Court (LHC) sought a reply on Friday from the federal government on multiple petitions challenging the five per cent increase in general sales tax on petroleum products.
Advocate Ishtiaq Chaudhry and Naeem Mir, a trade leader, said the increase in sales tax from 17 to 22 per cent was illegal.
Their counsel argued that the government was not passing on the benefits of a global reduction in prices of petroleum products to citizens.
He said the government had nominally reduced oil prices but simultaneously increased the sales tax. He said the Federal Board of Revenue had issued a notification announcing a raise in sales tax.
The counsel said that the announced hike was illegal. The court then sought a reply from the federal government by January 7.
Published in The Express Tribune, January 3rd, 2014.