Law: Income Tax Ordinance, 2001

Section: 11,18

Law: Punjab Finance Act, 1977

Section: 3

[Income Tax Ordinance, 2001 (XLIX of 2001)].......Sections 11 & 18 - Punjab Finance Act, 1977, Section 3 - Constitution of Pakistan, 1973, Article 163 - Constitutional Petition - Professional Tax Notice - Petitioner having registered office in province of Sindh - Charge of Professional Tax in Punjab on basis of petitioner having Sales Office in Punjab - Validity - Whether of Supreme Court clearly establishes the right of the provinces to impose and collect Professional Tax - Held yes - Whether only restriction that exists on competence of provincial Legislature to impose and collect Professional Tax is that its rate cannot exceed limit that may be fixed by act of Parliament federal legislature - Held yes - Whether fact that petitioner is paying professional tax to the Government of Sindh for its presence in that province is of no consequence insofar as there is neither a legal nor constitutional bar against the Provincial Government of Punjab to recover the said tax from a person engaged in profession, trade, calling or employment within its territories - Held yes - Whether impugned notice relates only to submission of documents for assessment and finalization of petitioner's case, therefore, even otherwise, this petition is not competent and hence dismissed - Held yes. A perusal of the of the Hon'ble Supreme Court of Pakistan in the case of Sargodha Textile Mills Ltd ibid. clearly establishes the right of the provinces to impose and collect professional tax. It has categorically been stated that "There is no doubt that it falls within the legislative competence of the Provincial Assembly to levy professional tax". Only restriction that exists on the competence of the Provincial Legislature to impose and collect professional tax is that its rate cannot exceed the limit that may be fixed by an act of Parliament/Federal Legislature. Admittedly, the petitioner is engaged in a profession, trade, calling or employment in the Province of Punjab. As such there is no bar against the Provincial Government recovering professional tax from the petitioner on account of its presence and conducting business within the Province of Punjab. The fact that it is paying…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492