| Citation(s) |
|---|
| 2026 SLG 2063 = 2026 SLD 2063 |
F.C.P.L.A. Nos.202 TO 204, 442 & 587 OF 2026 (Against judgment dated 24.12.2025, passed by the Lahore High Court, Lahore in W.P.Nos.63902, 66040, 63902 of 2024, 34473 and 28794 of 2025)
Presented By: JUSTICE (AAMER FAROOQ) Justice (MUHAMMAD KARIM KHAN AGHA)
For the Petitioner(s) : Mr. Saad Mumtaz Hashmi, ASC Assisted by Yawar Mukhtar, AHC (in FPCLA No.202, 203 and 204 of 2026) Mr. Muhammad Usman Shaukat, ASC Syed Rifaqat Hussain Shah, AOR For the
Respondent(s) : Mr. Sarfraz Ahmad Cheema, ASC Mr. Shahzad Ahmed Cheema, ASC Date of Hearing : 04.05.2026
Shahzor Feeds (Pvt.) Ltd. & another in F.C.P.L.A.202/2026 Rai Mansab Ali & another in F.C.P.L.A.203/2026 Lahore Feeds Limited & others in F.C.P.L.A.204/2026 S.S. Feed Mills Pvt. Ltd. in F.C.P.L.A.442/2026 Chairman Feeds in F.C.P.L.A.587/2026 …Petitioner(s)
VERSUS
Federation of Pakistan & others …Respondent(s) (in all cases)
Law: Sales Tax Act, 1990
Section: 3(1A), 2(41), 13, 14, 40 & 48
Law: Constitution of Pakistan, 1973
Section: 199
Tagline
Exemption of poultry farmers from registration under the Sales Tax Act, 1990, precludes the levy of further tax under Section 3(1A) on poultry feed manufacturers making supplies to them.
Case Summary
Introduction & Background
The petitioners, consisting of poultry feed manufacturers and poultry farmers, challenged an order passed by the Commissioner (Inland Revenue), LTU, Lahore, which held that poultry feed manufacturers were liable to pay a 4% "further tax" under Section 3(1A) of the Sales Tax Act, 1990. The tax was levied on the grounds that the manufacturers made supplies to poultry farmers who were unregistered entities. The Lahore High Court initially dismissed the petitioners' constitutional petitions, prompting them to appeal the decision.
Key Legal Issues
The primary issue before the Court was whether poultry feed manufacturers are liable to pay further tax under Section 3(1A) of the Act when supplying products to poultry farmers who are not registered under the Sales Tax Act.