KARACHI: The Sindh High Court (SHC) has adjourned the hearing of a constitutional petition filed by M/s Knitwear Textile Processing, seeking exemption form general sales tax in gas and electricity bills. A two-member bench, headed by Justice Aqeel Ahmed Abbasi, was hearing the petition.
Earlier, counsel for the petitioner stated that the petitioner is running a manufacturing unit of textile/ dying and paying all liabilities regularly.
According to the petitioner, in the year 2011, the officials of the tax authorities vide SRO NO 1125(1) of 2011 exempted such industrial units from general sales tax in the electricity and gas bills and no sales tax shell be charged in electricity bill and such like industry was declared as zero rated under clauses (XII) and (XIII).
The counsel argued that it has applied for the same relief in this regard an application has been given to the officials of the tax authorities. However, due to inaction of the officials, the petitioner moved numinous reminders but all in vain.
The counsel added that gas and electricity companies issued bills in which general sales tax was mentioned, therefore, being aggrieved while receiving the bills approached to the respondent gas and electricity companies and request to exempt it from the GST. However, despite submitting the registration certificates, they refused the petitioner’s request.
Citing Secretary Finance, Secretary (Sales Tax & Processor) FBR, Commissioner Inland Revenue Zone-I, RTO-II, Sui Southern Gas Company and chief executive officer of K-Electric as respondents, the petitioner pleaded that the court may direct the said respondents withdraw general sales tax mentioned in electricity bill and recovery of such general sales tax may be suspended.






