2017 PLP 1158 (PTD)
Messrs SHIFA INTERNATIONAL HOSPITAL, ISLAMABAD Versus COMMISSIONER OF INCOME TAX/WEALTH TAX, ISLAMABAD
| Citation | 2017 PLP 1158 (PTD) |
| Forum / Court | Supreme Court of Pakistan |
| Bench Members | Mian Saqib Nisar, C.J., Ejaz Afzal Khan and Umar Ata Bandial, JJ |
| Parties | Messrs SHIFA INTERNATIONAL HOSPITAL, ISLAMABAD Versus COMMISSIONER OF INCOME TAX/WEALTH TAX, ISLAMABAD |
| Primary Law | (a) Interpretation of statutes, (b) Income Tax Ordinance (XXXI of 1979) [since repealed], (c) Precedent |
Q1: What are the key laws and sections cited in 2017 PLP 1158 (PTD)?
This judgment primarily cites: (a) Interpretation of statutes, (b) Income Tax Ordinance (XXXI of 1979) [since repealed], (c) Precedent as referenced in Pakistani case law index.
Q2: Which judicial bench decided the case 2017 PLP 1158 (PTD)?
The case was heard and decided by the Supreme Court of Pakistan bench comprising: Mian Saqib Nisar, C.J., Ejaz Afzal Khan and Umar Ata Bandial, JJ.
Q3: What is the official citation format for this judgment on Pakistan Law Portal?
Cite this legal precedent as: 2017 PLP 1158 (PTD) (Messrs SHIFA INTERNATIONAL HOSPITAL, ISLAMABAD Versus COMMISSIONER OF INCOME TAX/WEALTH TAX, ISLAMABAD). Read the full summary and cross-referenced laws free on Pakistan Law Portal.
Laws Cited
Representation
- Hafiz Muhammad Idrees, Advocate Supreme Court for Petitioner.
- Babar Bilal, Advocate Supreme Court and Ms. Shazia Bilal, Advocate Supreme Court for Respondents.
Headnotes / Summary
(Against the judgment dated 31-5-2016 of the Islamabad High Court, Islamabad passed in I.T.R. No.24 of 2008).
Provisions of a fiscal statute were to be strictly construed and applied.
S. 23 & Third Sched. Entry I & II
Hospital building
"Factory" or "workshop"
Scope
Deprecation allowance allowed for buildings was 5% [Entry I of Third Sched. to the Income Tax Ordinance, 1979], whereas for "factory" or "workshop" it was 10% [Entry II of Third Sched. to the Income Tax Ordinance, 1979]
Question was whether a hospital could be considered as a "factory" or "workshop", entitling it to 10% depreciation allowance
Hospital whilst being an enclosed structure was undoubtedly a building, however, by no stretch of imagination could it be considered to fall within the definition of a "factory" or "workshop" as it was not a building where goods were manufactured, repaired or assembled
Hospital was, thus, only entitled to depreciation allowance at the general rate of 5% instead of 10%
Petition for leave to appeal was dismissed accordingly. Commissioner of Income Tax v. Dr. B. Venkahta Rao 2001 PTD 1124 and Commissioner of Income Tax v. Dr. B. Venkata Rao (1993) 202 ITR 303 distinguished.
Judgments from foreign (Indian) jurisdiction
Scope
Such judgments may be relevant in understanding and resolving the issues before the courts but had no binding effect upon the courts in Pakistan.