KP govt put on notice in appeal against levy

PESHAWAR: The Federal Constitutional Court on Monday issued notices to the Khyber Pakhtunkhwa government on an appeal challenging the imposition of Provincial Development Cess on the import of ghee, cement and other items.

A two-member constitutional bench comprising Justice Azhar Rizvi and Justice K.K. Agha heard the appeal filed by Cherat Cement and other petitioners.During the hearing, the petitioners’ counsel Ishaq Ali Qazi informed the court that multiple writ petitions had earlier been filed in the Peshawar High Court challenging the KP Infrastructure Development Cess Act 2022 and its subsequent amendments. He argued that the Khyber Pakhtunkhwa Revenue Authority had imposed an Infrastructure Development Cess, which would financially burden the business community. He added that the required legal procedure had not been followed, and therefore the cess should be declared null and void.

However, the Peshawar High Court had upheld the cess and dismissed the petitions, prompting the current appeal.Qazi argued that imposing cess on the import of various goods was unlawful, and noted that a 2024 notification had further increased the cess rate, which he termed unjust.