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The Federal Constitutional Court has issued an important ruling in favour of corporate taxpayers. The court has declared the adjustment of tax credits against super tax legally valid. It has also overturned an earlier decision of the Islamabad High Court. Justice Amir Farooq authored the six-page detailed judgment. The court accepted the appeals filed by a private mobile phone company. The case relates to the adjustment of tax credits against super tax. The company had challenged a demand raised by the Federal Board of Revenue (FBR). The FBR had issued a notice to the private company. The notice required the company to pay super tax. The company approached the Islamabad High Court after receiving the notice. It argued that its available tax credit should be allowed to adjust against the super tax liability. The Islamabad High Court rejected the company’s petition. The company then challenged that decision before the Federal Constitutional Court. The Federal Constitutional Court has now accepted the company’s appeals. It has declared that tax credits available to a taxpayer can be adjusted against super tax. The court referred to the relevant provisions of the tax law. It observed that the tax credit available under Section 168 is a separate and legally recognised right. According to the judgment, a taxpayer should not be prevented from using this credit for adjustment. The court said forcing a taxpayer to seek only a refund would not be consistent with the intention of the law. The judgment also addressed the interpretation of financial and tax laws. The court observed that such laws should be interpreted in a manner that facilitates taxpayers. The court emphasised that taxpayers should be able to exercise rights provided to them under the law. A legal right to a tax credit cannot be unnecessarily restricted through an interpretation that creates additional difficulties for taxpayers. The court also issued directions to the FBR. The FBR has been directed to examine the taxpayer’s claim for adjustment. The department must consider the claim in response to the tax notice. The FBR will now have to decide the matter according to the applicable law and the court’s ruling. The judgment provides an important clarification for corporate taxpayers. It establishes that an eligible tax credit can be considered for adjustment against a super tax liability. The ruling may also have wider implications for companies facing similar tax demands. Businesses with legally available tax credits may now rely on the court’s interpretation when seeking adjustments against their tax liabilities. By setting aside the Islamabad High Court’s decision, the Federal Constitutional Court has clarified the legal position on the issue. The case also highlights the continuing dispute between taxpayers and the FBR over the interpretation and application of tax laws.

The Government of Pakistan has categorically rejected allegations by the sons of former Prime Minister Imran Khan that he has been kept under a seven-month communications blackout and denied access to his family, lawyers and doctors, terming the claims “unsubstantiated” and contrary to official prison records. In a detailed response, the government said documented records showed that Imran Khan had continued to receive visitors, legal access and medical care during his imprisonment, rejecting what it described as an attempt to create an international controversy without evidence. According to the government, since the beginning of his conviction, prison records show 198 meetings involving more than 900 visitors, including family members, legal representatives and political associates. It said Khan was also allowed a weekly meeting with his wife, with the latest meeting taking place on 4 August 2026, the same day his sons made allegations of a communications blackout during an appearance on CNN. The government said prison authorities maintain records of approved visits and communications, including WhatsApp and landline calls with family members in Pakistan and abroad. It added that Khan’s last call with his son was recorded on 21 March 2026. The statement said any temporary restrictions were imposed under Pakistan Prison Rules, court orders and security requirements applicable to high-profile prisoners, particularly due to political activities outside the prison. “There is no prohibition on access; it is regulated under the law,” the government said, adding that prison meetings cannot be used as unrestricted political communication channels. Rejecting claims regarding medical treatment, the government said Imran Khan had received regular medical examinations by specialist teams and medical boards from institutions including the Pakistan Institute of Medical Sciences (PIMS), Shifa International Hospital, Shaukat Khanum Memorial Hospital and Al-Shifa Trust Eye Hospital. The government said Khan underwent treatment for a retinal condition, including five intravitreal anti-VEGF injections, specialist examinations and retinal imaging. It added that his latest specialist assessment was carried out in July 2026, with further medication and follow-up care prescribed. According to the official statement, medical records describe Khan as “oriented and stable”, with no reported acute or unmanaged deterioration. The government said disclosure of medical reports remained subject to legal procedures, patient confidentiality and ongoing proceedings before the Supreme Court of Pakistan. Addressing the issue of Khan’s sons’ travel to Pakistan, the government said the matter involved separate processes relating to NICOP and visa requirements. It stated that overseas Pakistanis holding a valid NICOP are eligible for visa-free entry and rejected what it called an attempt to present an administrative matter as political victimisation. The statement also detailed the facilities provided to Imran Khan in prison, saying he was being kept in a separate compound with accommodation and amenities exceeding minimum requirements for prisoners in the same category. The government maintained that Imran Khan was being treated according to constitutional guarantees, prison laws and court directives, while insisting that no individual was entitled to a separate legal framework or exemption from security regulations.

KOT ADDU: The body of the last person missing after the tragic Muzaffargarh Canal accident has been recovered near Head Kallo, bringing the search and rescue operation to an end. The body was recovered during a continued search operation launched to locate people who went missing following the accident. Rescue teams had been conducting searches at different points along the canal, including Head Kallo, day and night. According to officials, water was released into the canal following a request from the families of the victims. Due to the flow of water, the missing person’s body surfaced near Head Kallo. Rescue personnel deployed at the location immediately responded and recovered the body. The search operation continued despite the release of water into the canal. Teams from the district administration, Rescue 1122 and other relevant departments remained engaged in the operation under the direction of Kot Addu Deputy Commissioner Bilal Saleem and the supervision of Assistant Commissioner Kot Addu Farrukh Mahmood. Rescue teams were deployed at multiple locations along the canal. They maintained continuous surveillance and carried out searches in different sections to locate all missing persons. With the recovery of the latest body, officials said that all people reported missing in connection with the Muzaffargarh Canal accident have now been found. The rescue teams are completing the necessary procedures following the recovery. The body will be handed over to the relevant authorities for identification and other legal formalities. The district administration and rescue teams used all available resources throughout the operation. Officials also provided possible assistance and cooperation to the affected families during the search. The recovery of the last missing victim marks the completion of the search for those reported missing after the tragic canal accident.