PHC rules TMA Mansehra's timber cess illegal, citing lack of authority

PESHAWAR: The Peshawar High Court (PHC) has declared the imposition of a cess on timber transportation by the Tehsil Municipal Administration (TMA) Mansehra as illegal, stating that the TMA lacked the independent authority to levy such charges.

The decision was handed down by a single-member bench comprising Justice Syed Mudassir Ameer, who issued a detailed 14-page judgment. The court found that the TMA's role was limited to proposing levies to the tehsil council for approval, and it could not independently impose or collect any tax, fee, or cess.

Justice Ameer observed, “It is settled that no tax, fee or cess can be imposed or collected except by clear authority of law. This is also the requirement of Article 77 (read with Article 127) of the Constitution.” The bench further stated that the levy was contrary to the provisions of the now-repealed NWFP Local Government Ordinance, 2001.

The judgment came as the court rejected a revision petition filed by TMA Mansehra. The TMA had challenged the concurrent judgments and decrees of subordinate courts, which had earlier ruled in favor of the Forest Development Corporation (FDC). The FDC had contested the TMA's imposition of the cess on timber transportation.

The PHC's ruling reinforces the principle that local government bodies must operate within the legal framework and cannot impose financial levies without explicit legal backing. The court's decision is expected to have implications for similar levies imposed by local administrations across the province.