Lahore: According to press reports, the Lahore High Court (LHC) reinstated the Lahore Development Authority’s (LDA) jurisdiction over levying and retrieving land conversion costs on Tuesday (September 21).
The LHC overturned a single judge’s decision, allowing the LDA to collect taxes. The LDA cannot collect or recover conversion costs on roads or parts of highways declared commercial under List-A or otherwise converted for commercial use, according to the single-judge bench order.
The petitions were filed in response to the LDA’s decision to impose a one-time conversion fee for using land for commercial activity under the LDA Act and the 2014 regulations, which was deemed unconstitutional because people had been conducting business on their premises for a long time while paying all commercial rates.
After the LDA’s legal counsel, Amir Saeed Rawn, promised that no action would be taken to recover the commercialization fee until the appeal was decided, Justice Shahid Waheed announced the ruling on an internal court appeal (ICA) filed by the LDA.