The Federal Constitutional Court has ruled that tax authorities have the legal power to conduct raids at any time without prior notice.
Justice Aamir Farooq delivered the landmark verdict, stating that no prior case against a taxpayer is required to carry out a raid. The court rejected arguments that raids conducted without an ongoing case are illegal.
The ruling emphasized that Parliament has granted tax authorities broad powers to enforce tax laws, and the court cannot impose conditions that are not written in legislation. The commissioner must provide written justification specifying which law is being enforced during the raid.
Under the verdict, tax officials are fully authorized to seize computers, documents, and accounts during inspections.
