| Citation(s) |
|---|
| 2025 SLG 5376 2025 SLD 5376 = 2025 PTD 1614 = (2026) 133 TAX 93 |
Lahore High Court
S.T.R No.25/2021
PRESENT; (ASIM HAFEEZ) (ANWAAR HUSSAIN) Judge
Date of Hearing 12.09.2024 Applicant by: Mr. Muhammad Suleman Bhatti, Advocate
Respondent by: Ch. Mumtaz-ul-Hassan, Advocate
S.T.R No.25/2021
PRESENT; (ASIM HAFEEZ) (ANWAAR HUSSAIN) Judge
Date of Hearing 12.09.2024 Applicant by: Mr. Muhammad Suleman Bhatti, Advocate
Respondent by: Ch. Mumtaz-ul-Hassan, Advocate
Commissioner Inland Revenue
VERSUS
M/s Multan Electric Supply Company Limited
Law: Sales Tax Act, 1990
Section: 47, 13, 2(46)
SUMMARY;
This judgment from the High Court addresses Sales Tax Reference (S.T.R) No. 26/2021, filed by Anwaar Hussain J. (representing the tax department) against a Tribunal order dated 04.03.2021 favoring DISCOs (MEPCO and FESCO). It consolidates cases due to common legal issues on whether Tariff Differential Subsidy (TDS) from the Federal Government is taxable under the Sales Tax Act, 1990.
Key Questions
Was the Tribunal correct in holding TDS exempt under Section 13 and Sixth Schedule?
Did the Tribunal wrongly narrow "value of supply" under Section 2(46) to exclude subsidies received on behalf of consumers?