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Court Declares Section 7E Unconstitutional

Court Declares Section 7E Unconstitutional – A Major Relief for Property Owners and Taxpayers in Pakistan Pakistan’s taxation system has witnessed many controversial changes over the years, but few provisions created as much debate as Section 7E of the Income Tax Ordinance, 2001. Introduced through the Finance Act 2022, this section imposed a deemed income tax on certain immovable properties, even where no actual income was earned from the property. From the very beginning, taxpayers, legal experts, and business communities questioned its constitutional validity. In a landmark development, the Federal Constitutional Court of Pakistan has now declared Section 7E unconstitutional and void from the beginning. This judgment is being considered one of the most important tax decisions in recent years because of its direct impact on property owners, investors, and the powers of tax authorities. The decision not only provides relief to thousands of taxpayers but also strengthens constitutiona...

سپریم کورٹ کا سیکشن 7E پر تاریخی فیصلہ – پاکستان میں ٹیکس قانون کا اہم موڑ

سیکشن 7E پر تاریخی فیصلہ – پاکستان میں ٹیکس قانون کا اہم موڑ پاکستان میں ٹیکس نظام ہمیشہ سے بحث اور تبدیلیوں کا مرکز رہا ہے، لیکن حالیہ دنوں میں فیڈرل کانسٹیٹیوشنل کورٹ آف پاکستان کا سیکشن 7E کے حوالے سے فیصلہ ایک انتہائی اہم اور تاریخی پیش رفت کے طور پر سامنے آیا ہے۔ یہ فیصلہ نہ صرف پراپرٹی مالکان بلکہ پورے ٹیکس نظام کے لیے ایک بڑا قانونی اور آئینی موڑ سمجھا جا رہا ہے۔ سیکشن 7E کیا تھا؟ انکم ٹیکس آرڈیننس 2001 میں سیکشن 7E کو فنانس ایکٹ 2022 کے ذریعے شامل کیا گیا تھا۔ اس سیکشن کے تحت کچھ مخصوص غیر منقولہ جائیداد (Immovable Property) پر “ڈیمنڈ انکم” یعنی فرضی آمدن تصور کر کے اس پر ٹیکس عائد کیا جاتا تھا، چاہے اس جائیداد سے کوئی حقیقی آمدن حاصل نہ ہو رہی ہو۔ سادہ الفاظ میں، اگر کسی شخص کے پاس مخصوص شہری علاقوں میں جائیداد موجود ہو تو حکومت اس کی مارکیٹ ویلیو کا ایک فیصد بطور فرضی آمدن تصور کر کے اس پر ٹیکس وصول کرتی تھی۔ یہی نقطہ اس قانون کے خلاف سب سے بڑی بحث بنا، کیونکہ لوگ سمجھتے تھے کہ یہ اصل آمدن پر نہیں بلکہ محض ملکیت پر ٹیکس ہے۔ قانونی تنازع کیوں پیدا ہوا؟ سیکشن 7E کے نفاذ کے بعد...

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Court Declares Section 7E Unconstitutional

Court Declares Section 7E Unconstitutional – A Major Relief for Property Owners and Taxpayers in Pakistan Pakistan’s taxation system has witnessed many controversial changes over the years, but few provisions created as much debate as Section 7E of the Income Tax Ordinance, 2001. Introduced through the Finance Act 2022, this section imposed a deemed income tax on certain immovable properties, even where no actual income was earned from the property. From the very beginning, taxpayers, legal experts, and business communities questioned its constitutional validity. In a landmark development, the Federal Constitutional Court of Pakistan has now declared Section 7E unconstitutional and void from the beginning. This judgment is being considered one of the most important tax decisions in recent years because of its direct impact on property owners, investors, and the powers of tax authorities. The decision not only provides relief to thousands of taxpayers but also strengthens constitutiona...

EPADS Registration in Pakistan

 

EPADS Registration in Pakistan – Complete Guide for Government Tenders

By AM Tax & Corporate Hub

In Pakistan, government contracts offer some of the most stable and high-value business opportunities. From supplying goods to providing services or executing development projects, public sector tenders can significantly boost your business growth. However, to participate in these opportunities, one essential requirement is EPADS registration.

EPADS (Electronic Pakistan Acquisition & Disposal System) is a digital platform introduced under PPRA (Public Procurement Regulatory Authority) to bring transparency, efficiency, and fairness into government procurement. If you want to bid for federal or provincial government tenders, registering on EPADS is not optional—it is mandatory.

In this complete guide by AM Tax & Corporate Hub, we will explain everything about EPADS registration, including its importance, eligibility, required documents, and the full process in a simple and practical way.


What is EPADS?

EPADS stands for Electronic Pakistan Acquisition & Disposal System. It is an online procurement system where all government tenders, bidding processes, and supplier registrations are managed digitally.

Previously, tendering processes were manual and time-consuming. EPADS has transformed this system into a transparent and efficient digital platform where businesses can register, view tenders, submit bids, and track results online.

In simple terms, EPADS is your gateway to doing business with the government.

Why EPADS Registration is Important

Many businesses are unaware of the potential that government contracts offer. Once you are registered on EPADS, a whole new market opens up for your business.

First, it gives you access to government tenders across Pakistan. Whether it’s federal ministries or provincial departments, all procurement activities are listed on EPADS.

Second, it ensures transparency and fairness. The system is designed to eliminate favoritism and allow equal opportunity for all registered vendors.

Another major advantage is business growth. Government projects often involve large budgets, which can significantly increase your revenue.

Moreover, EPADS registration enhances your credibility. Being a registered vendor shows that your business meets legal and compliance requirements.

Who Can Register on EPADS?

EPADS registration is open to a wide range of businesses and professionals.

General order suppliers who provide goods to government departments can register to participate in procurement processes.

IT firms offering software, development, or digital services can benefit greatly from government projects.

Service providers in areas like consulting, maintenance, and operations are also eligible.

PEC registered contractors involved in construction and engineering projects must register to access relevant tenders.

In addition, any legally registered entity—whether a sole proprietorship, AOP (firm), or SECP registered company—can apply for EPADS registration.

If your business is properly registered and compliant, you are eligible to enter this system.

Required Documents for EPADS Registration

To complete your registration smoothly, you must prepare all required documents in advance. Proper documentation is essential for approval.

Tax and Financial Documents

Your business must have an active NTN (National Tax Number). In most cases, STRN (Sales Tax Registration Number) is also required, especially if your business deals with taxable goods or services.

Filer status is mandatory. This means you must regularly file your tax returns and be listed as an active taxpayer.

A bank account maintenance certificate is also required to verify your business banking details.

Corporate Profile

Your business structure determines the documents needed.

For companies, you must provide SECP incorporation certificate and Form 29, which contains details of directors.

For AOPs (firms), a partnership deed is required to show ownership and profit-sharing structure.

For sole proprietors, a business letterhead or basic business profile is usually sufficient.

These documents help establish your business identity and credibility.

Representation (Focal Person)

You must nominate a focal person who will represent your business on EPADS.

This requires an authority letter clearly stating that the person is authorized to handle registration and bidding processes.

The focal person must provide a valid CNIC copy.

Authentication Requirements

EPADS requires proper verification to ensure authenticity.

You need a registered mobile number and active email address for communication and login purposes.

Biometric verification of the focal person is mandatory. This step ensures that the person registering is genuine and authorized.

Step-by-Step Process of EPADS Registration

The registration process is online but requires careful attention.

First, visit the official EPADS portal and create an account. Enter your business details, including name, NTN, and contact information.

Next, upload all required documents, including tax certificates, business profile, and authorization letter.

After submission, you will proceed to verification steps, including biometric verification of the focal person.

Once your application is reviewed and approved, your business becomes a registered vendor on EPADS.

You can then log in to explore tenders, submit bids, and participate in procurement processes.

Responsibilities After Registration

Getting registered is just the beginning. To maintain your status and continue participating in tenders, you must fulfill certain responsibilities.

You need to keep your business information updated on the EPADS system. Any changes in ownership, address, or contact details should be updated promptly.

Maintaining active filer status is crucial. If you stop filing tax returns, your eligibility may be affected.

You must also follow tender guidelines carefully when submitting bids. Incomplete or incorrect submissions can lead to disqualification.

Professional conduct and timely responses are important for building a strong reputation in government projects.

Common Mistakes to Avoid

Many applicants face delays or rejection due to simple mistakes.

Submitting incomplete documents is one of the most common issues. Always double-check before applying.

Using incorrect or inactive contact details can create communication problems.

Not completing biometric verification properly can delay approval.

Another mistake is ignoring tax compliance. Without active filer status, your registration may not be accepted.

Avoiding these mistakes can save time and ensure a smooth process.

Benefits of EPADS for Business Growth

EPADS registration opens doors to a completely new market.

Government contracts are often large and long-term, providing stable income for your business.

It also allows you to expand your network and work with reputable public sector organizations.

Participation in government tenders improves your business profile and builds credibility.

For companies aiming to scale, EPADS is a powerful platform that should not be ignored.

EPADS vs Traditional Tendering

Before EPADS, businesses had to rely on manual processes, physical submissions, and limited access to information.

Now, everything is digital. You can access tenders from anywhere, submit bids online, and track progress in real time.

This shift has made the system more efficient, transparent, and accessible for businesses of all sizes.

Final Thoughts

EPADS registration is a game-changer for businesses in Pakistan. It provides direct access to government procurement opportunities, ensuring transparency and fair competition.

If your business is legally registered and compliant, there is no reason to miss out on this platform. With proper preparation and guidance, the registration process is straightforward and highly rewarding.

At AM Tax & Corporate Hub, we help businesses navigate the complexities of registration and compliance with ease. Whether you are a supplier, service provider, or contractor, getting registered on EPADS can take your business to the next level.

Start today and unlock the potential of government contracts for long-term growth and success.

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