Overview
- The court’s short order restores Sections 4B (2015) and 4C (2022) of the Income Tax Ordinance, dismisses all petitions, and sets aside conflicting high court judgments.
- The ruling affirms Parliament’s exclusive authority to legislate taxes and confines courts to interpreting, not recalibrating, fiscal policy such as slabs, rates, and thresholds.
- Carve‑outs remain in place as the tax does not apply to modarabas, mutual funds, and benevolent/provident funds, and oil and gas firms may seek case‑by‑case relief from tax commissioners.
- The FBR pegs pending super tax liabilities at about Rs300–310 billion and, pending the written judgment, aims to mobilize Rs50–60 billion this week toward Rs150–200 billion in the January–March quarter.
- According to officials and local reports, the IMF has pressed for quick arrear recoveries—within about a month—as the verdict resolves roughly 2,200 cases and helps close a revenue shortfall.