Federal Constitutional Court Dismisses 1,178 Review Petitions in Income Support Levy Case

The Federal Constitutional Court has dismissed 1,178 review petitions filed against its earlier ruling on the Income Support Levy Act 2013, closing a long-running legal challenge to the way the levy law was passed. The decision was reported on Wednesday, 28 October, and leaves the court's earlier judgment standing.

At the heart of the case was the legislative procedure used to enact the law. Referring to Articles 70 and 73 of the Constitution, the court observed that the prescribed procedure was a constitutional requirement, not a mere formality. It held that the Senate, as the representative body of the federating units, could not be excluded from the process where a bill did not fall within the constitutionally limited scope of a Money Bill, and that legislation requiring the approval of both Houses could not be enacted by bypassing the Senate.

The court also set out the limits of review itself, saying review jurisdiction is limited and exceptional, meant to correct an apparent error on the record rather than to rehear a case as if it were a fresh appeal. A matter already decided could not be reopened merely because a different view had since been taken, it added, and a judicial decision remains effective unless the relevant law is amended, repealed or declared unconstitutional. The Sindh High Court had earlier declined to permit the levy, and the Supreme Court held in December 2021 that the constitutionally prescribed procedure had not been followed before the Finance Act was enacted.

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