' JAMAL KHAN MANDOKHAIL, J.--- These identical petitions have been filed to challenge the levy/charge of tax on the imported Timber by the Forest Department, Government of Balochistan.
2. Briefly stated facts of the case are the petitioners are dealing in the business of timber and according to them, they are importing the same from Afghanistan to Pakistan. While importing the timber, they deposited the Customs and Excise Duty/Tax with Federal Government and when they enter the Province of Balochistan, the Forest Department, Government of Balochistan also charge tax from them. Their main contention is that according to Article 163 of the Constitution of Islamic Republic of Pakistan, 1973 (the Constitution),no one should be taxed twicely, therefore, the Forest Department, Government of Balochistan has charged them, which is challenged through present petitions.
2. Previously a judgment was passed by this Court on 6-3-1998, whereby C.P. No,366 of 1997 was accepted as prayed for. The Government of Balochistan, feeling aggrieved, has preferred a civil petition for leave to appeal before the Honourable Supreme Court of Pakistan, in which leave was granted in the following terms:--- "6. Having considered all aspects of the case we feel that questions raised, whether any prior permission from Forest authorities under provisions of Balochistan Forest Regulation, 1890 and Pakistan Forest Act, 1927 are required for movement of timber being 'forest produce' through Balochistan Province even if same has been lawfully imported and whether territorial limits with regard to actual placement of loading has no relevancy and shall be subservient to consequence for the movement of 'forest produce' as contemplated by the Balochistan Forest Regulations (supra) require consideration. Leave is accordingly granted to consider, inter alia, above aspects."
' The Honourable Supreme Court of Pakistan, after hearing the appeal, has accepted the same and remanded the case back to this Court, with the directions to examine both aspects, on which leave to appeal was granted. In the said judgment, directions in respect of payment of taxes have also been made.
3. After remand of the case learned counsel for petitioners have submitted that under Article 163 of the Constitution, no one should be taxed twicely. According to them, they have already paid taxes to the Federal Government through Customs Department, therefore, the Government of Balochistan through Forest Department has no authority to charge taxes. They have also stressed upon the legal proposition that the Forest Act, 1927 (the Act) has not been adopted by the Provincial Government. They further stated that the Balochistan Government has promulgated the Balochistan Forest Produce Transit Rules, 1998, therefore, the imposition of duty in terms of the Rule could also not be made applicable fetor sportively.
4. On the other hand, learned counsel for State, have submitted that the Forest Department is empowered to collect taxes on an imported Timber to Pakistan under section 39 of the Act. Their action is absolutely in accordance with law and is not in contravention of any provisions of the Constitution.
5. We have heard learned counsel for the parties and have perused the record. In our view, the main question for consideration is as to whether the Forest Act, 1927 has been extended to Balochistan and the Provincial Government is empowered to collect taxes/duties upon imported Timber.
6. It is important to mention here that on 9th June, 1960, an Ordinance, namely, Central Laws (Statute Reform) Ordinance XXI, 1960 (the Ordinance) was promulgated; relevant provisions of the Ordinance are reproduced here in below:--- "Whereas the incorporation of certain former Provinces, Acceding States and Tribal Areas into the Province of West Pakistan by the Establishment of West Pakistan Act, 1955, has rendered it expedient that certain charges should be made in the laws and that certain laws should be extended to parts of the new Province to which they had not extended before; ' And whereas such extension has been agreed upon in consultation with the Provincial Government of West Pakistan and the other authorities concerned; ' And whereas it is expedient to remove from the Statute-book certain Acts and Ordinances which have become absolute or have discharged their function.
' Now, therefore, in pursuance of the Proclamation of the seventh day of October, 1958, and in exercise of ali powers enabling him in that behalf, the President is pleased to make and promulgate the following Ordinance:---
(1) Short title.---this Ordinance may be called the Central Laws (Statute Reform) Ordinance, 1960.
(2) Repeal of certain Central Acts and Ordinances.---The Central Acts and Ordinances specified in the First Schedule are hereby repealed, and shall be deemed to have been so repealed on the fourteenth day of October, 1955.
(3) Amendments to effect adaptation of Central Acts and Ordinances necessitated by the establishment of West Pakistan.---(1) Save as otherwise expressly provided in any Central Act or Ordinance, the Central Acts and Ordinances specified in the Second Schedule shall extend to the whole of Pakistan, and shall be amended in the manner indicated in the fourth column thereof, and shall be deemed to have been so extended and amended on the fourteenth day of October, 1955."
' In pursuance of the said Ordinance, in Second Schedule, following amendments in the Forest Act have been brought:--- "1. Throughout the Act, for the words "the Provinces and the Capital of the Federation" the word "Pakistan" shall be substituted.
2. In section 1,---
(a) in subsection (2), the word "Province" shall be omitted; and
(b) for subsection (3) the following shall be substituted, namely:--- "(3) the Provincial Government of West Pakistan may, by Notification in the official Gazette, extend this Act to the rest of the Province or any specified part thereof."
In view of above amendments, the Act has been extended to the whole of Pakistan, meaning thereby that the Act is applicable in Province of Balochistan as well. In this behalf section 39 of the Act is relevant, which is reproduced here in below:--- "39.Power to impose duty on timber and other Forest produce.---(1) The Provincial Government may levy a duty in such manner, at which places and at such rates as it may declare by notification in the official Gazette on all timber or other forest-produce-
(a) which is produced in Pakistan, and in respect of which the Government has any right;
(h) which is brought from any place outside Pakistan or is transported from or to any place within Pakistan.
(2) In every case in which such duty is directed to be levied ad valorem, the Provincial Government may fix by like notification the value on which such duty shall be assessed."
The, perusal of aforesaid section clarifies that the Provincial Government may levy a duty in a manner as it may declare by Notification in the Official Gazette on all Timbers or Forest produce.
7. In view of above provision of law, it is proved that it is the Provincial Government, who can collect taxes and duties on the imported timber, therefore, the Forest Department, Government of Balochistan has acted strictly in accordance with law and no illegality has been committed while collecting taxes from the petitioners, 9(sic). As far as contention of petitioners' counsel that no one should be charged for tax twice is concerned, we are in agreement with the counsel, rather it is the mandate of the Constitution as enumerated under Article 163, whereby double taxation has been prohibited. According to petitioners, they have already paid taxes and duties to the Customs Department, therefore, one of them is acting illegally by collecting taxes. Since the Customs Department is not before us, nor collection of taxes by them has been challenged through instant petitions, therefore, we are not in a position to make any observation to their extent. The Government of Balochistan has prepared a policy through notification, whereby manner of places and rate of taxes and duties on Timber and foreign produce has been explained. The petitioners are bound to obey the directives of Forest Department and the taxes collected by them are just and proper.
10. As regards the amount already deposited by the petitioners, the Honourable Supreme Court of Pakistan in the remand order has held as under:--- "Therefore, he agreed for the remand of the case subject to directions to the department (i) to deposit the amount already recovered from the respondent, in a profit yielding scheme of the National Bank of Pakistan with permission to respondent to draw the profit on the same till the decision of the petition by the High Court. In this behalf respondent is ready to furnish an undertaking that whatever the amount of profit shall be received by the respondent shall he returned to the appellant-Department, if the same is decided against him."
As has been held above that the Forest Department has the authority to collect taxes, therefore, the petitioners are directed to release the amount as well as profit/interest thereon in favour of Forest Department, Government of Balochistan, which is deposited in the National Bank of Pakistan as per directions of honourable Supreme Court.
' In view of what has been stated above, the petitions, being without any substance, are dismissed with no order as to cost.