LAHORE: The Lahore High Court on Thursday suspended notices issued to 31 citizens of Lahore for the recovery of luxury tax on their houses.
Justice Shams Mahmood Mirza of the LHC issued this order on the petition of Tanveer Iqbal and others. The petitioners, through their counsels, said that the Punjab Excise and Taxation Department was issuing notices for the recovery of luxury tax on their houses, which was illegal and unconstitutional.
They said the Lahore High Court already has declared this tax as unlawful. They contended that these tax notices were in violation of an earlier court order and amounted to contempt. The petitioners submitted that the government was adopting coercive measures for the recovery of the tax.
Appearing before the court, a law officer submitted that the court did not declare the tax as illegal, but had directed the E&T department to regularise the recovery. He said the department was issuing these notices in line with lawful requirements and there was nothing illegal about the notices or the recovery of this tax.