SC seeks report on additional tax on CNG consumers

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The Supreme Court on Thursday sought an explanation from Attorney General of Pakistan Munir A Malik regarding recovery of additional nine percent tax from Compressed Natural Gas (CNG) consumers.

A three-member bench of the apex court headed by Chief Justice Iftikhar Muhammad Chaudhry including Justice Jawad S Khawaja and Justice Sheikh Azmat Saeed resumed hearing in the case regarding recovery of additional tax from CNG consumers.

The court also directed Anwar Kamal to assist the bench in the CNG case.

During the course of proceedings, the attorney general said the government was receiving nine percent additional tax from CNG stations since 2007 and the gas distribution companies paid the tax.

The chief justice remarked that the tax money was being collected from the masses.

“There are some parameters for imposing additional tax and the additional levy tax is imposed from the ordinance which the court had already declared null and void,” he said.

The attorney general said changes in the supply of natural gas came according to situation.

The chief justice remarked that the government had to inform the court of the reasons for imposing the additional tax.

The AG said CNG stations received additional tax to fulfill their extra expenditure.

The chief justice remarked that the government was also receiving tax on the gas infrastructure and asked why had the government not received six percent tax instead of nine percent.

The FBR chairman sought additional time, saying the FBR’s counsel has gone for Umra. However, the bench turned down the request and directed the AG to submit a report on the additional tax being received from the masses.

The case was adjourned until August 6.