| Citation(s) |
|---|
| 2026 SLG 4107 = 2026 SLD 4107 |
Lahore High Court
Writ Petition No.2546 of 2018
Presented By: (JAWAD HASSAN JUDGE
Dates of hearing 18.11.2025 and 20.02.2026 Petitioner(s) by Sayyid Murtaza Ali Pirzada, Advocate for the Petitioner with Syed Muaz Ali, Advocate.
Respondent(s) by Barrister Zain Mansoor, Assistant Attorney General. Mr. Muhammad Irshad, Assistant Advocate General. Mr. Binyamin Abbasi, Advocate for
Respondent No.6/Higher Education Commission. Mr. Nisar A. Mujahid, ASC/Amicus Curiae.
Writ Petition No.2546 of 2018
Presented By: (JAWAD HASSAN JUDGE
Dates of hearing 18.11.2025 and 20.02.2026 Petitioner(s) by Sayyid Murtaza Ali Pirzada, Advocate for the Petitioner with Syed Muaz Ali, Advocate.
Respondent(s) by Barrister Zain Mansoor, Assistant Attorney General. Mr. Muhammad Irshad, Assistant Advocate General. Mr. Binyamin Abbasi, Advocate for
Respondent No.6/Higher Education Commission. Mr. Nisar A. Mujahid, ASC/Amicus Curiae.
Foundation University V/S Ministry of Religious Affairs and others
Law: Constitution of Pakistan, 1973
Section: 199
Law: Zakat and Ushr Ordinance, 1980
Section: 1(2), 2(xxiii), 3, 24
Law: Foundation University Ordinance, 2002
Section: 3 & 5
Law: Charitable Endowments Act, 1890
Section:
Case Summary
Tagline
A chartered university is not exempt from Zakat merely because it is established for educational purposes or sponsored by a charitable trust; exemption must be expressly provided by law.
Facts
- Foundation University challenged the Ministry of Religious Affairs' letter dated 24.04.2018 directing deduction of Zakat from its investments in National Saving Certificates.
- The University claimed it was:
- A charitable institution;
- Sponsored by Fauji Foundation, a charitable trust; and
- Therefore exempt from Zakat under the Zakat and Ushr Ordinance, 1980.
- The Ministry rejected the University's request for exemption, leading to the constitutional petition.
Issues
- Whether Foundation University qualifies as a charitable institution exempt from Zakat.
- Whether investments made by the University in National Saving Schemes are exempt from compulsory Zakat deduction.
- Whether sponsorship by Fauji Foundation automatically grants exemption.
Held
Petition Dismissed.
The High Court upheld the Ministry's decision and held that Foundation University is liable to pay Zakat on its investments.