LAHORE, Jan 27: The Lahore High Court issued notices on Friday to federal and Punjab governments on a petition challenging levy of sales tax on restaurants by the federal government.

Muhammad Ishaq filed the petition that his restaurant was registered with the Inland Revenue Department, Lahore. He said restaurants fell under the domain of service providers and the government could not levy tax on services under the Constitution.

The petitioner’s counsel said under Article 142(c) of the Constitution provided parliament had no power to make laws on any matter not mentioned on the federal government list.

Moreover, the government could not collect tax on services, he said, adding that the business of restaurants came under the definition of services which was exempted from sales tax. Justice Ijazul Ahsan issued notices to the governments and sought their reply by Feb 1.

challenged: The appointment of Prof Dr Mujahid Kamran as Punjab University vice-chancellor for another term has been challenged through a writ petition before the LHC.

Prof Dr Yousaf Hayat who was also one of the contenders for the vice chancellor filed this petition and stated that Dr Kamran’s re-appointment was not only a violation of the Punjab University Act but also violation of the Supreme Court judgment against reemployment of retired persons. He said the respondent had already completed his term as VC.

He said the Punjab government by reappointing Kamran as VC also deprived eligible candidates of their lawful right. He urged the court to take notice of the ‘illegality’ and set aside the impugned appointment.

kite flying: The LHC sought a reply from the Punjab government and the City District Government of Lahore on a writ petition challenging ban on kite flying and manufacturing kites and strings under the Punjab Prohibition of Kite Flying (Amendment) Act, 2009.

A trader, Waqas Ahmad, through his counsel, said the ban on kite flying was void and against fundamental rights of the citizens. He said it was unjust to put a ban on manufacturing and sale of kites and strings. The manufacturers of kites and related material were basically poor people and the impugned ban had virtually left them to starve to death.

He said freedom to legitimate trade, business and profession enshrined in the Constitution could not be taken away. He prayed that the impugned ban be lifted being illegal and in violation of the Constitution. Justice Umar Ata Bandial directed both the governments to file their reply by March 6.