LAHORE: Justice Ayesha A Malik of the Lahore High Court on Monday stayed the recovery of sales tax by the Punjab Revenue Authority (PRA) from the management of Pakistan Expo Centre.
The judge also sought a reply from the Industries, Commerce and Investment Department secretary till February 8, 2018, on a petition moved on behalf of the Expo Centre management. Counsel for the petitioner Khalid Ishaque submitted that the Pakistan Expo Centre being a property of the federal government was not liable to taxation to any province. He said that the PRA unlawfully registered the Expo Centre as a service provider company and started issuing notices for the recovery of 16 percent sales tax on the services.
He said that the PRA being a provincial body had no authority to recover tax from the Expo Centre, a property of the federation. He said that under Article 165 of the constitution, a provincial government could not levy tax on any property or income of the federal government established in the province.
Published in Daily Times, October 24th 2017.