ISLAMABAD: The Federal Constitutional Court (FCC) on Friday adjourned until next week the hearing in a set of cases concerning the imposition of Super Tax.
A three-member bench, headed by Chief Justice Aminuddin Khan and comprising Justice Syed Hassan Azhar Rizvi and Justice Arshad Hussain, took up appeals filed by the Federal Board of Revenue (FBR) against judgments of the Sindh, Lahore, and Islamabad high courts challenging the levy of Super Tax under Section 4B of the Income Tax Ordinance, 2001.
During the proceedings, Barrister Farogh Naseem, representing various companies, continued his arguments and submitted that a similar tax had been declared inconsistent with fundamental rights by an American court. He pointed out that the special tax year ends on December 31, whereas the normal tax year concludes on June 30.
He argued that the FBR had described the Super Tax as a windfall tax before the Lahore and Islamabad high courts, but had taken contradictory positions in different forums. “Super Tax is imposed on windfall profits, yet conflicting stances are being adopted,” he contended, reiterating that a comparable tax had been struck down abroad on constitutional grounds. At this, Chief Justice Aminuddin Khan remarked that repeatedly citing judicial precedents was adding to the court’s workload. In response, Farogh Naseem said that the precedents had actually simplified his task and that it was now for the court to examine them.
When counsel for other private companies sought permission to present their arguments, the chief justice observed that if they intended to merely repeat the same submissions, they could adopt Farogh Naseem’s arguments. The lawyers, however, assured the bench that they would advance distinct points.
Subsequently, the court adjourned the hearing until Monday, January 19.
