Karachi, February 20, 2024 – The Pakistan Tax Bar Association (PTBA) took a proactive stance on addressing key tax concerns during a recent meeting with Chief Justice of Pakistan (CJP) Justice Qazi Faez Isa.
In a letter submitted to the CJP, the PTBA outlined significant issues related to tax procedures, constitutional limitations, and judicial practices in matters concerning tax and revenue.
The meeting at the Supreme Court of Pakistan served as a platform for the PTBA to present several pertinent issues, offering insights into pending tax matters of public importance. The association provided detailed information, including the nature of the issues and corresponding case numbers before the Supreme Court. Notable among them were challenges against the 4B and 4C super taxes, the levy of 7E, and the dispute over Capital Value Tax (CVT) under section 8, all of which are currently under consideration.
The PTBA also highlighted the positive steps taken by the Supreme Court toward automating the judicial system. Acknowledging these efforts, the association suggested the creation of an integrated platform for sharing information on revenue matters that have been decided and finalized in terms of legal interpretation. This platform, according to the PTBA, would enable other courts and tribunals to dispose of similar cases swiftly, reducing the overall pendency of tax and revenue-related disputes.
Addressing the issue of constitutional vires, the PTBA proposed that when a High Court decides a matter that is subsequently brought before the Supreme Court with an interim order, other High Courts should be directed to suspend similar proceedings until the Supreme Court issues a verdict. Additionally, the association recommended that any interim order granted by the Supreme Court in matters of constitutional vires should operate universally to provide relief to taxpayers consistently.
Another key proposal put forth by the PTBA was the need to define the territorial jurisdiction of the Islamabad High Court in tax, corporate, and other revenue matters. This clarification aims to prevent duplicity of proceedings in other High Courts and ensure the integrity of territorial jurisdiction.
Lastly, the association urged that tax and revenue matters be disposed of in accordance with Article 199(4A) of the Constitution of Pakistan. This, they argue, would contribute to the smooth and speedy resolution of pending cases in the courts, aligning with their broader plan of action to improve Pakistan’s economic situation and attract both foreign and local investors.
The PTBA emphasized that these submissions are a result of constructive discussions during the meeting with Chief Justice Faez Isa, aligning with their commitment to contributing positively to the resolution of economic challenges and judicial efficiency in Pakistan. The proposed measures, if implemented, are anticipated to streamline legal processes, promote consistency, and enhance the overall investment climate in the country.
