ISLAMABAD, Feb 26 (APP):The Federal Constitutional Court of Pakistan has ruled that tax authorities are empowered to conduct raids at any time without prior notice and that the existence of a pending case against a taxpayer is not a precondition for such action.
The judgment was authored by Justice Aamer Farooq, who observed that Parliament has granted wide-ranging powers to tax officials for the enforcement of tax laws.
The court held that it cannot read into the statute any condition that the legislature has not expressly provided.
Rejecting the argument that a raid conducted without an ongoing formal case should be deemed unlawful, the court declared that tax authorities are competent to proceed in accordance with the law.
However, the court directed that the Commissioner must record in writing the specific legal provision and the suspected violation forming the basis of the raid. This requirement, the judgment noted, ensures procedural transparency and accountability.
The court further held that tax authorities have the authority to take into custody computers, documents and accounts during such operations, provided that the action remains within the bounds of the law.
The ruling is being regarded as an important precedent concerning the enforcement of tax laws and the scope of powers vested in tax officials.