The Supreme Court verdict illegalising the raise in general sales tax on Friday pushed the PML-N government in a tight corner, as the opposition parties got together to put further pressure on the already shaken government benches.
Due to the court verdict, the treasury benches even decided to adjourn the House proceedings abruptly at around 3:30pm against its planned schedule when the opposition parties insisted that the wind up speech should be deferred so that they go through the 113 recommendations forwarded by the Senate on the Finance Bill 2013-14.
Earlier in the day, National Assembly Speaker Sardar Ayaz Sadiq confirmed to the House that Finance Minister Ishaq Dar would deliver his wind up speech on budget debate on Friday. However, keeping in view the sense of the House, the debate is likely to now conclude on today (Saturday).
The court verdict triggered a strong reaction from the opposition benches and for the first time, major opposition parties Pakistan People’s Party Parliamentarians (PPPP), Pakistan Tehreek-e-Insaf (PTI) and Muttahida Qaumi Movement (MQM) staged a joint walkout from the House terming the GST hike “illegal” and “unjustified”.
The MQM also observed token walkout twice from the House proceedings in protest over the killing of their party colleagues in Karachi. The opposition parties looked united in registering their protest against the implementation of increased GST before the passage of finance bill and questioned the legality of the budget document after Supreme Court struck down the hike in GST.
The government benches tried hard to convince the opposition MPs that it would abide by the court’s decision and believed that charging of increased GST before passage of finance bill under Sales Act 1931 was not a new phenomenon and practiced in the past. The finance minister was not present in the session of the proceedings by that time.
“Even in the last PPP government, this provision of act was invoked four times and we did not term it illegal,” Law Minister Zahid Hamid said, adding that the government would, however, act upon the court’s verdict.
PTI’s Deputy Parliamentary Leader Makhdoom Shah Mahmood Qureshi also did not allow the treasury benches to go scot-free.
“This is a serious matter. After apex court’s decision, all the benchmark figures of the budget would change and government should explain it in plain words to the House,” Qureshi said and demanded the House proceedings be adjourned until the government came up with its position over the subject matter.
Leader of Opposition in the National Assembly Syed Khursheed Shah also backed Qureshi’s stance and deplored that right from the beginning, he had termed the government’s policy of collecting increased GST unconstitutional.
“When our parliamentarians pointed it out, nobody heeded to it and now the court has given its decision against it,” Shah said.
“We should increase the respect and dignity of parliament,” Shah said, arguing how could the government refund the amount to consumers who have been charged increased GST since June 13, 2013.
Awami Muslim League chief Sheikh Rasheed Ahmed, who first raised the issue, said the government should abide by the court’s decision on GST hike.
Finance Minister Ishaq Dar, who turned up in the House in the second session, also announced to abide by the verdict of the apex court. However, he contended that no illegal step had been taken by the government because it had been practiced in the country and around the world.
He asked parliamentarians that even accepting the decision of the court, the parliament should, however, discharge its responsibility over the issue.
MQM lawmakers looked agitated and forcefully raised the issue of killing of their workers and lawmakers, the latest being Sindh Assembly MPA Sajid Qureshi.
In an emotional speech, Rasheed Godil shared the news of terrorist attack on Sajid Qureshi and his son and asked why their leaders and workers were being killed by gangsters.
“Are Urdu-speaking people not Pakistanis?” Godil said and later led a walkout from the House in protest.
Earlier, Ishaq Dar told the House that the government was waiting for a detailed judgment of the apex court and whatever had been directed by the Supreme Court would be implemented. Responding to various points of order raised by opposition members, Dar said the declaration regarding the GST would be passed with the finance bill.
“If the House decides to withdraw increase in GST, the government will respect and honor the decision.” He apprised the House that the Senate had unanimously passed recommendations and had forwarded these to the National Assembly Secretariat.
He said the National Assembly would again take up the proposals and it had the right to accept or reject the recommendations given by the Senate, adding no one could hijack it.
Dar said he was in no hurry to wind up the budget debate and some amendments would be brought in the finance bill.