Overview

• A five‑judge bench led by Justice Amin‑ud‑Din Khan heard appeals on Section 4C and adjourned proceedings until Tuesday.
• Justices asked if routine price rises qualify as windfall profits, citing petrol moving from Rs150 to Rs200 and sugar from Rs160 to Rs170.
• The bench questioned reliance on Article 10‑A’s fair‑trial clause in a tax case and noted the income tax law provides no public‑hearing requirement.
• Petitioners argued the levy was an arbitrary bid to raise Rs215 billion, said alternatives exist to create fiscal space, and contended Section 4C taxes amounts without allowing loss or depreciation deductions.
• The FBR recapped that the Lahore High Court upheld the levy but cut rates to 4% for 16 sectors and said liability targets high‑income entities, as justices highlighted the listing of loss‑making PIA and steel mills.