SC orders big industry to pay 4pc super tax
The Supreme Court on Thursday ordered the large-scale manufacturing industries to pay a 4 per cent super tax. A three-member bench comprising Chief Justice Umar Ata Bandial, Justice Ayesha A. Malik and Justice Athar Minallah heard the federal government and the Federal Board of Revenue (FBR) appeals regarding the recovery of super tax. It should be noted that various industries had challenged the super tax levied in budget 2022-23 with retrospective effect after which the Sindh High Court invalidated the collection of the 10pc super tax from the last fiscal year. Last year, Prime Minister Shehbaz Sharif announced a 10pc tax on major industries including cement, steel, sugar, oil and gas, fertilisers, LNG terminals, textiles, banking, automobiles, chemicals, beverages and cigarettes. Through the Finance Act 2022, the government introduced a new section C-4 in the Income Tax Ordinance to impose a super tax on high-income earners. Through this section, the FBR imposed a 10pc super tax on 13 sectors earning more than Rs150 million with restrospective effect from July 1, 2021.