Pakistan, Jan. 28 -- The Federal Constitutional Court (FCC) on Tuesday declared the super tax constitutionally valid, setting aside earlier judgements of the high courts and affirming parliament's exclusive authority to impose taxes under the Constitution.

Read More: FCC adjourns hearing of super tax case until today

In a landmark ruling, the FCC upheld Sections 4-B and 4-C of the Income Tax Ordinance (ITO) 2001, which were introduced through the Finance Acts of 2015 and 2022. The court ruled that the provisions would apply from the dates they were originally levied at the prescribed rates, rejecting arguments that the tax amounted to retrospective or double taxation.

Various businesses, banks and corporate entities had challenged the ...