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ISLAMABAD, Oct 20 (APP):The Supreme Court’s constitutional bench on Monday adjourned the hearing of multiple petitions challenging the imposition of super tax until Tuesday.
A five-member bench headed by Justice Amin-ud-Din Khan heard the case involving several corporate taxpayers, including major telecom companies. During the proceedings, counsel for various taxpaying companies, Abid Shaban, concluded his arguments.
Shaban contended that the Senate’s role is limited to giving recommendations, while the authority to pass amendments rests with Parliament.
Justice Jamal Khan Mandokhail observed that the Senate could make suggestions, but enacting amendments was not within its mandate.
The counsel argued that while the Senate proposed a 4 percent tax, the National Assembly approved a 10 percent instead. Responding, Justice Mandokhail remarked that the National Assembly holds the authority to accept or reject Senate recommendations.
Following this, counsel for telecom companies, Nauman Haider, began his submissions, stating that his clients provide internet services and that he would try not to repeat previous arguments.
Justice Muhammad Ali Mazhar asked which arguments he intended to adopt.
Haider replied that he would rely on the submissions of Makhdoom Ali Khan, who had yet to present his case.
Haider further argued that lawyers’ fees are subject to advance tax deductions, yet they are also required to pay super tax, which amounts to double taxation.
Justice Mazhar clarified that the super tax applies to income remaining after standard tax deductions.
The counsel added that India initially followed the 1961 tax model but has since adopted a system similar to Pakistan’s, with the tax year starting from April 1.
The bench adjourned further hearing until Tuesday at 9:30 a.m., when Haider will continue his arguments on behalf of the telecom sector.