Supreme Court rejects appeal against tax on Methanol

ISLAMABAD: The Supreme Court on Wednesday rejected an appeal over recovery of tax on imported methanol, ARY News reported.

A bench of the apex court hearing the case against Sindh government’s imposition of tax on methanol.

Earlier, the counsel of importers argued that the methanol is not an intoxicating drink but it is a toxic substance. No tax can be imposed on a toxic item, the counsel said.

“Methanol is alcoholic substance and used in alcohol,” Sindh government’s counsel argued. “Any alcoholic substance used in alcohol is taxable,” Sindh’s lawyer said.

“An ordinance has also been promulgated with regard to imposition of tax on methanol”, the counsel said. “The importers of methanol didn’t challenge the ordinance,” he added.

The bench rejected the appeal against the tax and observed that if the aggrieved party have any objection, they should challenge the relevant ordinance in the lower court.

Methanol, also known as methyl alcohol, is a chemical and the simplest alcohol, which also sold for use as a motor fuel that is not blended with gasoline, diesel, other fuels, or petroleum products.