RAWALPINDI: Adhering to the principle that “Judges speak only through their judgments,” a landmark ruling by a Lahore High Court Rawalpindi’s bench comprising Justice Jawad Hassan and Justice Malik Javid Iqbal Wains has effectively reshaped Punjab’s economic landscape.
In response to a reported judgment in the matter Jadeed Feeds Industries (Private) Limited Versus Board of Revenue, Punjab, etc. Board of Revenue issued formal notification granting a complete waiver of Stamp Duty on property transfers arising from mergers and schemes of arrangement sanctioned by the Courts or the SECP. This judicial intervention resolves a long-standing federal-provincial jurisdictional overlap, significantly reducing the cost of corporate restructuring and fostering the “Ease of Doing Business” in the province.
It is pertinent to mention that for years, the corporate sector in Punjab faced a daunting “double-taxation” hurdle. While the Companies Act, 2017 (a federal law) sought to encourage mergers and acquisitions, the Stamp Act, 1899 (a provincial matter) imposed heavy duties on the transfer of property during these restructurings.
While companies in Islamabad enjoyed exemptions under Section 282(5) of the Companies Act, those in Punjab were caught in a jurisdictional gap. This overlap created significant practical difficulties, stifling corporate growth and making mergers prohibitively expensive. The resolution arrived through the judicial proceedings at the Lahore High Court (Rawalpindi Bench), reported as 2025 CLD 587. During the hearings, the Securities and Exchange Commission of Pakistan (SECP) highlighted the disparity between Islamabad and the provinces.
Recognizing that legal clarity is a prerequisite for economic stability, Justice Jawad Hassan – a preeminent commercial judge and member of the Standing International Forum of Commercial Courts (SIFoCC) did not merely adjudicate; he facilitated a solution. The Court directed the Chief Secretary of Punjab and the SECP to deliberate on harmonizing these laws.
The “speech” of the Court, delivered through its written verdict, catalyzed immediate executive action. Following the Court-mandated consultations, the Board of Revenue, Government of the Punjab, issued a formal notification granting a complete waiver of Stamp Duty on property transfers arising from mergers and schemes of arrangement approved by the Courts or the SECP.
The SECP has welcomed this decision as a vital step toward facilitating the corporate sector, praising the Court’s proactive role. By bridging the gap between legal interpretation and economic reform, Justice Jawad Hassan has reinforced the judiciary’s role as a cornerstone of the “Ease of Doing Business” in Pakistan. This story serves as a testament to the fact that when the bench speaks with clarity and vision, the echoes are felt far beyond the courtroom – transforming the very fabric of the national economy.
