Warrants for secy if order not complied with by 20th: court

GST on petroleum products

LAHORE: Justice Mamoon Rashid Sheikh of the Lahore High Court on Friday expressed dismay over non-filing of reply to a petition challenging the federal government decision of imposing 17 percent General Sales Tax (GST) on petroleum products and remarked that warrants for secretary petroleum could be issued if order was not complied with until next date of hearing.

During the course of hearing, a deputy attorney general sought more time for filing reply. He said the secretary was abroad and reply could not be submitted.

The judge directed that if the secretary did not appear with reply until October 20, warrants could be issued for him.Earlier, the judge on August 31 had given last chance to the federation secretary petroleum, OGRA, economic coordination council and ministry of finance for filing reply.

The petitioner-counsel argued that the instant petition had been pending since April 2016 and the LHC had directed the federal government more than eight times to file comments and reply but the government had not obeyed court’s order.

The petitioner pointed out that the government had no justification to levy more than 17 percent sales tax as burden was being shifted to public at large illegally.He submitted that the federal government was illegally charging more than 50 percent GST on diesel in past and for this month 28 percent GST and prices were not decreased in comparison with international market.

He said the prices were increased from $50.50 to $43.00 on July 28, 2016 and in these circumstances the petroleum prices needed to be decreased accordingly. He said this increase in addition to already prevailing tax on petroleum products by the government was totally unconstitutional and illegal.

He said that present increase in GST on petroleum products also violated the Supreme Court rulings. He argued that so far federal government had illegally and in violation of Article 3, 4, 5, 9, 14, 23 & 25 of the Constitution collected Rs661 billion taxes and duties on petroleum products, including more than 50 percent sales tax on diesel.

He said it was part of record that subsidies on electricity, gas and others had been taken away and on the other hand, illegal taxes were being levied and they were going to provide subsidy on metro bus to 200,000 people which was not the priority.

He said the citizens were away from health facilities and clean water and right of free education had been taken away.He requested to declare the December 30, 2014 increase illegal and unconstitutional.