๐๐š๐ฅ๐ฎ๐œ๐ก๐ข๐ฌ๐ญ๐š๐ง ๐‡๐ข๐ ๐ก ๐‚๐จ๐ฎ๐ซ๐ญ ๐’๐ญ๐ซ๐ฎ๐œ๐ค ๐ƒ๐จ๐ฐ๐ง ๐Ÿ•๐„

Share

๐๐š๐ฅ๐ฎ๐œ๐ก๐ข๐ฌ๐ญ๐š๐ง ๐‡๐ข๐ ๐ก ๐‚๐จ๐ฎ๐ซ๐ญ ๐’๐ญ๐ซ๐ฎ๐œ๐ค ๐ƒ๐จ๐ฐ๐ง ๐Ÿ•๐„

“Though deem income may be given widest possible meaning but it does not mean that Parliament can choose to tax as income an item which in no rationale sense can be regarded as a citizen’s income. The item taxed should rationally be capable of being considered as the income of a citizen. Impugned section 7E of the Ordinance by no rationale sense can be called an icome and be subjected to Income Tax. There is neither an economic transaction neither any accrual/arising of an amount wich may be deemed as income. In the case of uimpugned Section 7E there is noย  “Economic Transaction” or event that can give rise to an amount that can be treated as income…”

Umer Ijaz Gilani, a Supreme Court lawyer and expert in constitutional law, said: The BHC’s judgment stands out from amongst the High Court judgments on the issue of 7E for its ‘common sense’ approach. The BHC has clarified that the Supreme Court in Elahi Cotton may have expanded the scope of income from “profit” to “deemed profit” which is calculated as a fraction of revenue. But the SC has never upheld the deeming of non-income as income. That would be downright Orwellian.”

Click to Download

7E Judgment BHC

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top