LAHORE: The Lahore High Court has stayed recovery of Rs 1.3 million property tax from four Water and Power Development Authority (WAPDA) offices.
Justice Syed Mansoor Ali Shah passed the order on a petition filed by WAPDA challenging the imposition of property tax. The court also sought a reply from Punjab Excise and Taxation Department until December 10.
Earlier, WAPDA counsel Umar Sharif told the court that the Punjab Excise and Taxation Department had issued notices to four WAPDA offices and residential flats for payment of Rs 1.3 million property tax. He submitted that the federal government was exempted from property tax under Article 165 of the constitution and WAPDA, being a part of the government, was also exempted from the property tax.
Sharif contended that the notices were illegal and pleaded the court to set aside them. He also requested to stay the recovery of property tax until the final decision of the case.
After hearing initial arguments, the court stayed the recovery and also sought a reply from the provincial department.
