Islamabad-A petition challenging imposition of the Federal Tax on sale and purchase of private property in Islamabad Capital Territory was filed in the Islamabad High Court here on Thursday.

The petition was moved by Shahid Orakzai who cited Ministry of Law and Federal Board of Revenue (FBR) as respondents.

In his petition, Orakzai raised a question before the court that whether federal government can collect any tax on property transfer if the estimated receipt thereof is not stated in the annual budget statement as required under article 80 of the constitution. The petitioner contended that under the Constitution, FBR cannot collect any tax unless the National Assembly has duly sanctioned the estimated receipt of the tax countrywide as required under article 80.

Therefore, he adopted that this tax is absolutely illegal and does not have authority of the Parliament and prayed to the court to declare that the procedure adopted for imposing this tax is ultra vires of the Constitution.

He further requested the court that federal government may be directed to withdraw the tax and refund its collection.