WORLDCALL TELECOM LTD. vs GOVERNMENT OF THE PUNJAB through Secretary, Ministry of Finance Delegated power, exe

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WORLDCALL TELECOM LTD. VS GOVERNMENT OF THE PUNJAB through Secretary, Ministry of Finance Delegated power, exercise of---Principle---If Legislature imposes a condition for exercise of a delegated power, that power cannot be used unless the condition is fulfilled---If the power entails levy of a tax on a person which cannot be left unbridled and so must remain subject to overarching regulatory authority of Provincial Assembly. arts.129 & 130---"Provincial Government"---Connotation---Term "Provincial Government" connotes Chief Minister and Provincial Ministers taken together---Decision by Provincial Government has to be taken by Cabinet as a whole as delineated in art.130 of the Constitution. Ss.3, 5(3) & 10---Constitution of Pakistan, Art.199---Constitutional petition---Taxable services---Amendment of Schedule of the Act---Petitioner/taxpayer assailed notification issued by Punjab Government amending Second Schedule to Punjab Sales Tax on Services Act, 2012---Plea raised by petitioner/taxpayer was that Schedule could not be amended without the same placing before Provincial Assembly---Validity---Nature of taxable services were listed in Second Schedule as per S.3 of Punjab Sales Tax on Services Act, 2012 and exclusions were not deemed to be services liable to tax under S.10 of Punjab Sales Tax on Services Act, 2012---Services provided by petitioner/taxpayer were covered by one of the exclusions and was originally not a taxable service to be subject to tax---Provincial Assembly did not deem it expedient to levy tax on petitioner in the first place---If such tax was sought to be imposed under purported authority of S.5 of Punjab Sales Tax on Services Act, 2012 then Government of Punjab could not apply the provision selectively---Power exercised by Government of Punjab was tantamount to amending S.3 of Punjab Sales Tax on Services Act, 2012, in actuality by seeking to include an exclusion as a taxable service---Such could only be done by a Money Bill and by an Act of Provincial Assembly---Such was precisely the reason Punjab Government laid before the Provincial Assembly all such notifications at the time of presenting Annual Budget Statement---Exercise of powers by Provincial Government under a statute had to be done collectively by Chief Minister and Provincial Ministers---Exercise of any power by an executive officer of the Province or even by the Chief Minister acting alone was ultra vires and a nullity---High Court declared notification in question ultra vires the powers of Provincial Government and was struck down---Constitutional petition was allowed accordingly.

WORLDCALL TELECOM LTD. vs GOVERNMENT OF THE PUNJAB through Secretary, Ministry of Finance Delegated power, exercise of — 2023 PTD 1 LAHORE-HIGH-COURT-LAHORE

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