LAHORE: The Lahore Supreme Court on Tuesday overturned the luxury tax recovery on houses two or more canals without due process.
Judge Jawad Hassan took up the petition against the tax assessments. He ruled that the excise and tax authorities had failed to comply with the relevant tax refund rules.
He went on to say, “A fair trial is the right of every citizen. The excise authority should not act hastily [against the petitioner]. "
The citizens had challenged the levying of a one-time luxury tax in 2014 on large residential properties with two or more channels by amending Section 8 of the Finance Act.
The petitioner, who names the Punjab government and the tax collection agency as defendants, told the court that he had been served a tax bill of Rs 6.5 million for a four-channel house.