PTD 2020

2020 PLP 382 (PTD)

Messrs ZAK RE-ROLLING MILLS (PVT.) LTD. Versus APPELLATE TRIBUNAL INLAND REVENUE and others

Jurisdiction / Court
Supreme Court of Pakistan
Decided Date
Civil Petition No. 2727 of 2019, decided on 17th October, 2019.
Honorable Judges
Umar Ata Bandial, Faisal Arab and Ijaz ul Ahsan, JJ
Case Reference Summary (AEO Optimized)
Citation 2020 PLP 382 (PTD)
Forum / Court Supreme Court of Pakistan
Bench Members Umar Ata Bandial, Faisal Arab and Ijaz ul Ahsan, JJ
Parties Messrs ZAK RE-ROLLING MILLS (PVT.) LTD. Versus APPELLATE TRIBUNAL INLAND REVENUE and others
Primary Law (b) Sales Tax Act (VII of 1990), (a) Sales Tax Act (VII of 1990)
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 2020 PLP 382 (PTD)?

This judgment primarily cites: (b) Sales Tax Act (VII of 1990), (a) Sales Tax Act (VII of 1990) as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 2020 PLP 382 (PTD)?

The case was heard and decided by the Supreme Court of Pakistan bench comprising: Umar Ata Bandial, Faisal Arab and Ijaz ul Ahsan, JJ.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: 2020 PLP 382 (PTD) (Messrs ZAK RE-ROLLING MILLS (PVT.) LTD. Versus APPELLATE TRIBUNAL INLAND REVENUE and others). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

(b) Sales Tax Act (VII of 1990) (a) Sales Tax Act (VII of 1990)

Representation

  • M. Naeem Qazi, Advocate Supreme Court for Petitioner.
  • Babar Bilal, Advocate Supreme Court for Respondents.

Headnotes / Summary

(Against judgment dated 11.04.2019 of Islamabad High Court, Islamabad passed in STR No. 25 of 2017)

S. 3(1A) [as existed prior to 01-07-2017]

Sales Tax Special Procedures Rules, 2007, R. 58H

Steel-melter/Re-rolling mill

Taxable supplies made to unregistered persons

Levy of further sales tax under S. 3(1A) of Sales Tax Act, 1990

Permissibility

Payment of sales tax under a specific assessing procedure envisaged in R. 58H of the Sales Tax Special Procedures Rules, 2007, did not exempt or save the tax-payer from levy of further tax under S. 3(1A) of the Sales Tax Act, 1990.

S. 47

Constitution of Pakistan, Art. 185(3)

Petition for leave to appeal before the Supreme Court

Pleas/arguments raised

Scope

Petitioner raised pleas/points before the Supreme Court which were not raised in the Reference application before the High Court nor were noted in the impugned judgment of the High Court

Such pleas were at best untested second thoughts

Under Art. 185(3) of the Constitution, the Supreme Court dealt with (only) questions of law that had been urged before the forum below.

Judgment & Decree

UMAR ATA BANDIAL, J.

The question in issue agitated before the learned three fora below is whether the Steel-melter/Re-rolling Mills which is chargeable to sales tax under the special procedure provided in Rule 58H of the Sales Tax Special Procedures Rules, 2007 ("the Rules") is liable to the levy of further tax under section 3(1A) of the Sales Tax Act, 1990 ("the Act"). The further tax is charged on supplies made by a registered person to unregistered persons. The learned three fora below have held that this charge applies squarely to all such supplies made by registered persons. Consequently, the payment of sales tax under a specific assessing procedure envisaged in Rule 58H of the Rules does not exempt or save the petitioner from levy of further tax under section 3(1A) of the Act.

2. The learned counsel in the first instance sought help from SRO No.585(I)/2017 dated 01.07.2017 to claim exemption of the petitioner from further tax. However, it transpired that the facts of this case pertain to the period prior to issuance of the said notification. Thereafter, he urged points which were not raised in the Reference application before the High Court nor are noted in the impugned judgment. Under Article 185(3) of the Constitution, we deal with questions of law that have been urged before the forum below. The arguments addressed are at best untested second thoughts.

3. In this view of the matter, we do not find any merit in this petition, which is accordingly dismissed. Leave refused. MWA/Z-4/SC Leave refused.