Islamabad
\nThe Supreme Court\u2019s constitutional bench will resume hearing of the high-profile Super Tax case today (Monday). The five-member bench, headed by Justice Amin-ud-Din Khan, will take up multiple petitions related to the super tax imposed on various industries.
\nDuring the previous hearing, Justice Jamal Khan Mandokhail observed that after the 26th Constitutional Amendment, all constitutional matters must be heard by designated constitutional benches. \u201cWe cannot ignore constitutional questions,\u201d he remarked, adding that after the 18th Amendment, the Senate comprises relatively more technocrats, therefore their input on such matters can be valuable.
\nJustice Muhammad Ali Mazhar noted that the court would not go into the factual aspects of the case and instructed the counsels to focus on legal questions. The hearing also involved detailed discussions on taxes, pricing, and profit margins within the tobacco sector.
\nCounsel for the petitioners, Advocate Ijaz Ahmad Zahid, completed his arguments, informing the court that only ten tobacco companies are registered with the FBR. He added that the FBR\u2019s lawyers presented a new table during arguments, changing their earlier stance. According to him, a cigarette pack costing Rs173 carries Rs44 in taxes, while the Pakistan Tobacco Company controls overall pricing. A pack priced at Rs77 carries Rs44 in taxes, leaving Rs33 as profit. \u201cUnder the current legal regime, earning a windfall profit is not possible,\u201d the counsel argued.
\nJustice Mazhar reiterated that only legal questions would be addressed, while Justice Mandokhail noted, \u201cThe tax you pay comes from your profits.\u201d Advocate Zahid responded that the figures being presented were not from the original budget, citing former Finance Minister Shaukat Tarin\u2019s statement about IMF pressure in budget formation.
\nJustice Hasan Azhar Rizvi remarked humorously, \u201cYour company deserves appreciation \u2014 earning Rs300 million with such a small profit margin is quite an achievement.\u201d
\nFurther questioning by the bench included queries about cigarette exports to Afghanistan and the potential for smuggling. Advocate Zahid maintained that if other brands are exported, his client company cannot be held responsible.
\nJustice Mazhar pointed out that excise officers supervise exports, adding that financial leakages should be addressed at their root to reduce fiscal deficits. Justice Mandokhail further observed, \u201cYou are not the only ones paying tax; smokers also contribute through consumption taxes.\u201d
\nThe bench adjourned further hearing of the case until Monday.<\/p>\n","protected":false},"excerpt":{"rendered":"
Islamabad The Supreme Court\u2019s constitutional bench will resume hearing of the high-profile Super Tax case today (Monday). The five-member bench, headed by Justice Amin-ud-Din Khan, will take up multiple petitions related to the super tax imposed on various industries. During the previous hearing, Justice Jamal Khan Mandokhail observed that after the 26th Constitutional Amendment, all […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":{"0":"post-509572","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-top-news"},"yoast_head":"\n