KARACHI: Industry has strongly protested over imposition of 20 per cent additional sales tax on supply of electricity and said it will destroy the industrial activities and result in mass unemployment.
He demanded the government to withdraw the increase immediately and K-Electric should be stopped from looting the industrial community.
The imposition of additional taxes on electricity will lead to destruction and a flood of unemployment.
In a statement, NKATI president said that 20 per cent additional sales tax has been levied on the electricity bills sent to industries by K-Electric.
While KE is already levying 17 per cent sales tax on electricity bills, so there is no justification for imposing an additional 20 per cent sales tax.
“Forcible collection of additional sales tax from registered consumers in sales tax is a total injustice which will increase the cost of production immensely. Which will have a very bad effect on the country’s exports and industrial production activities”, he said.
Faisal Moiz Khan demanded the government to take notice of the imposition of 20% additional sales tax on electricity bills by K-Electric and withdraw this decision immediately and provide a conducive business and industrial environment in line with Prime Minister Imran Khan’s vision of making it easier to do business and run industries. Otherwise, it will be impossible for industrialists to run their own factories
NKATI president further said that if the government wants industries to flourish and create more employment opportunities, then anti-business and anti-industrial measures must be avoided, so that the domestic industries can get back on their feet in the face of the dire economic situation due to COVID-19 pandemic.
“The business, industry and trade community of Pakistan demands a better, more competent and responsible leadership at the helm of the affairs at State Bank of Pakistan,” said Mian Nasser Hyatt Maggo, President FPCCI while criticizing irresponsible and fictitious statement by the Governor SBP on deprecating value of Pakistani Rupee and how it is benefiting Pakistan.
FPCCI Chief said that there is no economic sense and justification in the statement that Pakistan has gained around $3 billion due to recent depreciation in Pak Rupee. He added that the ground realities are diametrically opposite than that of assertions by SBP Chief.
Mian Nasser Hyatt Maggo emphasized that monetary policy should be devised in a manner to promote economic growth and bring stability in the economic indicators; however, monetary policy has failed to achieve any of the above.
Nasir Khan, VP FPCCI, has said that unrelentingly depreciating exchange rate is playing a havoc with Pakistani society and the economy. This is unsustainable and the Prime Minister should intervene – in the larger national interest – immediately to arrest the slide in the value of Pak Rupee.
Nasir Khan said that the government must address the domestic and imported inflation through its monetary and fiscal policies; instead of making lame excuses.
Mian Nasser Hyatt Maggo said that hardly any justification exists in continuation of the present Governor SBP. In fact, ethically speaking, he should prefer to resign himself in view of totally indefensible policy structure given by SBP.
Mian Nasser Hyatt Maggo has also demanded a binding inquiry into the conduct of SBP in recommending sweeping tax concessions for non-resident companies to attract investments in government debt at very high rates to favor certain foreign commercial banks. The same conduct of Governor SBP is part of the history archives, when he was in Egypt.
Chairman Businessmen Group (BMG) Zubair Motiwala and President Karachi Chamber of Commerce & Industry (KCCI) Muhammad Idrees, after listening to the hardships being faced by traders of Jodia Bazaar, assured that the Karachi Chamber will take up all issues being faced by the traders/ shopkeepers of Jodia Bazaar with relevant quarters and will try its best to get them amicably resolved so that the traders and shopkeepers, who are an integral part of KCCI, could smoothly carry out their activities without any hassle.
The assurance was given at a meeting during the visit of a delegation from Jodia Bazaar which was led by Haroon Agar to congratulate the newly elected office bearers. Senior Vice President KCCI Abdul Rehman Naqi, Vice President Qazi Zahid Hussain and KCCI Managing Committee also attended the meeting whereas Jodia Bazaar delegation comprised of Waseem-ur-Rehman, Hanif Pochi, Najam Chughtai, Arif Lakhani, Asif Haji Karim, Javed Qadri, Aslam Nathani and others.
While highlighting numerous issues, Leader of Jodia Bazaar delegation Haroon Agar pointed out that skim milk, which was not a luxury item, was subjected to imposition of Sales Tax which is a serious anomaly that raises the cost of this important household products. Hence, the Federal Board of Revenue should be approached with a request to look into the possibility of exempting this product from Sales Tax, he added.
He further mentioned that due to massive number of Kunda Connection all over Jodia Bazaar, the area frequently undergoes massive load shedding every day which creates a lot of problems even for the legitimate consumers of KE who, despite paying all their outstanding dues, have to suffer badly due to someone else’s misconduct.
“KCCI must take up this matter with higher authorities at KE so that the utility service provider could be convinced to minimize load shedding and remove all Kunda connections in this area where massive trading activities of up to billions of rupees take place every day.
He further highlighted the grievances being faced by traders of Jodia Bazaar due to massive smuggling of various products including milk, spices and plastic etc. which were entering Pakistan in bulk quantities from Afghanistan via Chaman, making the legal trade of all these products uncompetitive in the local markets.
KARACHI: The Federal Board of Revenue (FBR) to introduce a new and efficient system for payment of all kind of tax payments, said a top tax official.
“We will introduce a new and efficient system replacing IRIS in which all kinds of taxes can be easily paid in one place,” a press statement quoted Tariq Mustafa Chief Commissioner Inland Revenue, Regional Tax office (RTO) Karachi as saying on Wednesday.
The RTO Chief said that the issues raised by KATI would not only improve the regional tax office but also benefit the FBR. He said that after 2013, tax refund payments were in a halt. Under the current system, there is no problem of refunds.
Refunds are now paid immediately through the modern automated system, we are hold accountable for non-payment of refunds.
KATI members can contact me for any complaint regarding FBR. My doors are open to all members, he said.
KATI President Salman Aslam, KATI CEO Zubair Chhaya, Tax Liaison Committee Chairman Masood Naqi, Senior Vice President Maheen Salman, Former Presidents Saleem-uz-Zaman, Tariq Malik, Farhan-ur-Rehman, Rashid Siddiqui, Johar Qandhari, Ehteshamuddin, Syed Farukh Mazher and a large number of other members including were present.
Earlier, KATI President Salman Aslam welcomed the arrival of Chief Commissioner Inland Revenue Tariq Mustafa in KATI and said that the industrialists were concerned over the reports of freezing the accounts of defaulters. He said that to increase further revenues tax net needs to be widened, adding that harassment of taxpayers would not increase revenue.
President KATI said that new policies should be formulated to facilitate the tax system so that the industrialists consider paying taxes without any fear as a national duty.
KITE CEO Zubair Chhaya said that, we have been made withholding agent without any compensation and instead of encouragement, we have been issued monitoring notices from 2014 to date.
The government should encourage withholding agents. He said that in terms of filers and non-filers, non-filers save their lives by paying extra tax once while filers go through various notices and audits despite paying taxes.
A policy should be formulated in consultation with the stakeholders to widen the scope of taxation.
Facilities should be provided to the industrialists of Karachi so that the industries can be promoted and the national revenue can be further increased.
On the occasion, Chairman Tax Liaison Committee Masood Naqi said that a focal person should be appointed to facilitate the industrialists of Korangi and FBR who could provide immediate assistance to the members of KATI.
He said freezing accounts and imposing heavy fines would discourage taxpayers as they would not be able to pay heavy fines due to the post-COVID economic crisis.
BMP Chairman Mian Anjum Nisar, while strongly reacting to increase in electricity base tariff by Rs 1.39 per unit for the second time in one year, along with exorbitant hike of Rs10.49 per litre in petrol prices, has said that the government has declared another minibudget by burdening the trade and industry with billions of rupees new taxes in the form of huge increase in electricity, gas and petroleum rates.
FPCCI’s Businessmen Panel Chairman Mian Anjum Nisar observed that the government has raised the petroleum product price for the third consecutive time in one month period, lifting it by more than Rs20 per litter to Rs137.79 per litre, as the authorities hiked the oil prices by Rs4.50 on Sept 16, then by Rs5.50 on Oct 1 and now by Rs10.49 per litter on Oct 16, 2021.
“It is unfortunate that the authorities had reduced the petroleum rates just by Rs1.50 one and a half months back on Sept 1, 2021,” he added.
Moreover, the federal government has announced to increase electricity base tariff by Rs 1.39 per unit across the country from Nov 1, while it had already enhanced the base power tariff by Rs 1.95 per unit in January this year along with quarterly and monthly electricity price hike under fuel adjustment formulas, totaling the power price hike to over Rs5 per unit, he claimed.
He said that the National Electric Power Regulatory Authority (NEPRA) has allowed an increase of Rs1.65 per unit in power tariff, under quarterly adjustments, which will empower the distribution companies to collect Rs173 billion from consumers in the next one year. He said that the trade and industry were expecting some relief at the expiry of early adjustments of Rs1.62 per unit on Sept 30, 2021, however, the NEPRA announced the transfer of new adjustments equal to Rs1.65 per unit to the consumers with effect from Oct 1, 2021.
FPCCI former president rejected the increase in power prices along with the periodic hike in rates of petroleum products. He said the increase in power and fuel prices will increase the cost of production for the industrial section which in turn will impact the ease of doing business and exports. This will ultimately hit the economy as envisioned by the Prime Minister, he maintained.
Condemning the government’s move, the ruling group chief of apex chamber said the increase was being done to meet the conditions of the International Monetary Fund.
It is unfortunate that Minister for Finance Shaukat Tarin had pledged a day earlier – on October 14, 2021 in Washington DC while attending the annual meeting of IMF – that electricity tariff will not be increased.
Rejecting the latest increase in electricity and petroleum prices, he termed it a cruel decision by the authorities, which will bring the economy to a grinding halt. Millions more will be unemployed while millions are facing abject poverty and starvation. Imposition of 17 per cent sales tax on exempted items, increase in petrol, electricity prices is not just for the economy, he said.
He further said the government had dropped a new bomb on the trade and industry at a time when inflation and unemployment was at an all-time high and the economy was facing total collapse because of government’s incompetence.
The government blindly acted on the terms of the IMF and did not bother to care about the public interest. He warned that severe inflation was creating a serious problem of economic viability of the country which was not a good omen for Pakistan.
Businessmen Panel Chairman Mian Anjum Nisar said the constant increases in energy rates on the behest of the International Monetary Fund (IMF) would make the Pakistani products uncompetitive in the international market.
He opposed the government’s move of raising power tariff by more than Rs5 per unit, besides lifting rates of petroleum products twice a month to qualify for the revival of the stalled $6 billion IMF loan program, leading the economy towards point of no return due to interference of the International Monetary Fund.
Mian Anjum Nisar said it was imperative to make power and gas tariffs for domestic, as well as export sectors compatible with the tariff being applied in regional and neighboring countries.
Karachi Chamber of Commerce and Industry (KCCI) on Saturday appealed the government to subsidize prices of petroleum products as continuous hike in prices will badly affect business community as well as masses.
Chairman Businessmen Group (BMG) & Former KCCI Zubair Motiwala, while expressing sheer dismay over exorbitant hike in petroleum prices by Rs10.49 per liter, appealed the Government to subsidize the impact of international oil prices as the increase in petroleum prices would not only affect the overall economic performance but would also intensify the hardships for businesses and the masses who were already overburdened because of inflation and their budgeting would be further disturbed due to hike in petroleum prices and also the electricity tariff.
“The current government has always desired that the cost of doing business is reduced but all these steps are in contrast to the policy of the government as the nation nowadays suffers badly due to frequent hikes in petroleum prices, electricity & gas tariffs and other utilities in addition to fluctuating exchange rates and higher duties on imports”, Chairman BMG added in a statement issued here on Saturday.
He further pointed out that it was a matter of grave concern that the winter season has not yet arrived in Karachi but gas supply to CNG stations has been suspended for 10 consecutive days which was really worrisome.
He said: “We are well-aware that the international oil prices were on the higher side but the impact must not be passed on to the public as done in the past. The petrol and diesel prices in Pakistan peaked at Rs87 and Rs65 per liter during the historically highest ever international crude price of $147.27 per barrel in July 2008 and now when it was around US$85, the petroleum prices have been raised to a whopping Rs137.79 per liter which was beyond our understanding.”
Referring to severe devaluation of Pakistani rupee against dollar, Zubair Motiwala said that the rupee was seen devaluating by approximately 12.4 percent against US Dollar from Rs152.30 on May 17, 2021 to around Rs171.20 as on October 16, 2021. “Severe devaluation of rupee has raised the cost of doing business and fostered the inflation, therefore, it is really crucial to review the current strategies being pursued by the economic managers.”
“The government needs to understand that the share of exports in GDP stood at 8 percent while the rest of 92 percent was local trade and imports hence the devaluation is hurting and has reached to a level where it has become unbearable”, he added.
He stressed that the emerging situation has to be efficiently addressed and handled very carefully otherwise, the rising petroleum prices and excessive devaluation will continue to increase the cost of doing business, which would terribly affect the industrial performance, raise unemployment and open the floodgates of inflation, particularly for the middle and lower segments of the society, besides making the poor poorer due to unbearable inflation. “The inflation monster needs to be effectively controlled.”
He further opined that increase in electricity tariff was probably due to ‘Take or Pay Agreements’ with the Independent Power Producers (IPPs) so the brunt of the policy should not be put on the people of Pakistan.
He also underscored that the import substitution industries, SMEs, Small Traders and Shopkeepers who were the backbone of economy cannot bear such shocks. The federal and provincial governments must help them out by providing loans at zero percent interest rate for their survival otherwise they will become bankrupt.
He hoped that the Federal Government would realize the gravity of the situation and accordingly take steps to stop further devaluation of rupee against dollar and also look into the possibility of subsidizing petroleum prices as done in the past.
Meanwhile, President KCCI Muhammad Idrees, while appreciating the Sindh Government’s decision to lift the restriction imposed on carrying out businesses on Sunday which was earmarked as Safe Day, stated that the business community was very happy to see that Chairman Businessmen Group Zubair Motiwala fulfilled his commitment to small traders/ shopkeepers within 24 hours by successfully convincing the Sindh government to allow business activities on Sunday.
“KCCI warmly welcomes Sindh Government’s notification in which businesses have been allowed to operate on Sunday which would certainly help in minimizing the grievances being suffered by shopkeepers who underwent severe losses due to COVID-19 pandemic and subsequent lockdowns”, he added.
He said that by promptly and affirmatively responding to Chairman BMG’s request, Chief Minister Sindh has proved that the Sindh government was undoubtedly a peoples’ friendly government which despite so many challenges, tries its best to somehow provide relief to the public whenever possible.
KARACHI: Chairman Businessmen Group (BMG) & Former President Karachi Chamber of Commerce & Industry (KCCI) Zubair Motiwala has urged all shopkeepers and small traders to exhibit complete unity and solidarity under KCCI’s umbrella so that one strong voice could be raised to compel the federal and provincial governments to pay attention to Karachi and immediately resolve all the issues being suffered by Karachiites.
“The Karachi Chamber, being the premier Chamber and a true representative of the entire business community, is not just for resolving problems of businessmen and industrialists but small traders and shopkeepers are also equally important and dear to us hence, BMG Leadership and KCCI Office Bearers are always available to help out small traders and shopkeepers who are an integral part of this Chamber”, he added while speaking at the first meeting of Special Committee for Small Traders which was also attended by Vice Chairman BMG Jawed Bilwani, President KCCI Muhammad Idrees, Senior Vice President Abdul Rehman Naqi, Chairman of KCCI’s Special Committee for Small Traders Majeed Memon, Former Presidents KCCI Majyd Aziz & Younus Muhammad Bashir, Former Senior Vice President Talat Mehmood, KCCI Managing Committee Members and a large number of shopkeepers and representatives of commercial markets’ associations.
Commenting on the hardships being suffered by shopkeepers due to outbreak of COVID-19 pandemic and the subsequent lockdowns, Chairman BMG urged the Federal and Provincial Governments to provide a helping hand to the perturbed small traders and shopkeepers who were still distressed and have not come out of crises because of the severe losses suffered during lockdowns. He said that the Karachi Chamber was struggling really hard to some how convince the government to extend financial support to shopkeepers as compensation for the losses suffered by them during COVID-19 pandemic.
Responding to concerns expressed by meeting participants over poor attitude of police officers towards shopkeepers, Zubair Motiwala assured that the Karachi Chamber was well aware of this particular issue hence it has already been discussed with Karachi Police Chief Imran Yaqub Minhas who assured to deal with it at the earliest so that the small traders and shopkeepers could carry out their business activities without any kind of fear from police.
He also promised to invite Additional IG for a meeting again at KCCI in which small traders and shopkeepers will also be invited so that they could directly discuss issues pertaining to parking, police patrolling, encroachment, thefts, robberies, mobile snatching and other heinous crimes taking place in their areas. “We will keep striving and continue to raise a very strong voice until all the issues are resolved exactly as per aspiration of small traders.
Commenting on problems being faced by small traders and shopkeepers due to complete closure of businesses on Sunday which has been earmarked as Safe Day, Chairman BMG informed that this issue has been taken up with Chief Minister Sindh Syed Murad Ali Shah who has assured that if the NCOC declares Sunday as working day for shopkeepers, he would immediately lift the restriction of carrying out business activities on Sundays. “Chief Minister will also be visiting KCCI next week where we will again highlight this issue so that it could be taken into consideration”, he added.
He further informed that KCCI has also taken up the issue of forced registration with Chairman Sindh Revenue Board (SRB) Khalid Mehmood who was advised to hold consultation with relevant markets’ associations instead of forcing the shopkeepers to get registered. “Any misconduct or demand for bribe by SRB official may please be reported to KCCI and we will take up this matter with SRB to ensure that no injustice was being done to anyone”, he added.
Keeping in view the hardships being faced by Shopkeepers in obtaining trade license, Zubair Motiwala assured to develop some kind of system within KCCI so that the shopkeepers could get the trade license without any demand for bribe by just paying the fee. “We will also take up the possession issue being suffered by displaced shopkeepers of the encroachment drive who although have been allotted shops at alternate locations but the possession has not been given so far”, he added.
KARACHI: Additional Inspector General Imran Yaqub Minhas has stressed that the sale of second-hand mobile phones accessories has to be brought into a regulatory framework.
It would help in dealing with the most serious issue of rising street crimes as the accessories and spare parts of all the snatched phones were being disposed of by selling them in the local markets, he added.
“The street crimes would only reduce when a regulatory framework for sale of second-hand mobile phones’ spare parts is in place otherwise it would remain a challenge and we may reach at the verge of disaster in terms of street crimes,” he added while exchanging views at a meeting during his visit to the Karachi Chamber of Commerce & Industry.
Karachi Police Chief, while terming the social media as a ‘menace and a curse’, stated that a huge portion of the content revolving in the social media was based on unauthenticated reporting which was playing with public’s nerves hence, it also needs to be regulated.
“I appeal the business community of Karachi Chamber to raise a strong voice for regulating all the social media sites and apps”, he said, adding that the social media sites which build the perception about Karachi and Pakistan must be brought into a legal framework.
He admitted that robberies were taking place in Defense area where three gangs were operational, of which one gang has been nabbed and its coordinators have also been identified.
“Serious efforts were underway and strategies have been adopted to control crime hence, the situation in DHA is likely to improve in the next few days,” he added.
To drastically improve the law & order situation of Karachi, AIG stressed the need for an effective surveillance system in the city otherwise the crimes will never stop.
“Enhancing the number of police officers would not yield results so we have to adopt scientific and technological practices being used all around the world for effectively controlling street crimes,” he added.
He said that due to lack of proper planning, the city is collapsing and it was a matter of grave that there was no expansion plan for Karachi which has been missing since many decades. The city is turning into an ocean of concrete with undocumented and uncontrolled population. The city has to be reframed in a planned way otherwise it will become prey to its own serious issues, he added.
He said: “We are facing another serious challenge within the department i.e., criminalization of police force and we are fighting really hard with that challenge which is not less than confronting the ocean’s waves.”
Imran Minhas also assured to look into the possibility of nominating a focal person exclusively for Karachi Chamber.
Speaking on the occasion, Chairman BMG Zubair Motiwala, while expressing deep concerns over deteriorating law and order situation of Karachi city, pointed out that in addition to infinite incidents of street crimes taking places all over the city, 26 robberies happened in Defense area alone whereas 17.5 percent rise was witnessed in murder cases, car snatching escalated by 67 percent, gang rape incidents upsurged by 130 percent and 100 percent increase was recorded in murder while resisting a dacoity and bank robberies.
Urging the lawmakers to stop step-motherly treatment with Karachi, he stressed that the law & order situation of this city has to be given special attention and an effective strategy has to be devised on war footing otherwise, the situation would worsen further and the city will be plunged to a point of no return.
“Law & order issue was linked with poor economic performance as it has been observed that the economic and business activities were shrinking and joblessness was rising therefore, many people were landing up in the world of crime to fulfil their needs”, Zubair Motiwala opined while referring to US$4 billion deficit suffered by the country in the month of August.
“Despite contributing 68 percent revenue and 55 percent exports, the business community is compelled to continue their activities without security, gas and electricity and they have to face all the hindrances being created by civic agencies as well. In this scenario, running an industry in Karachi is not less than a Jihad”, he added.
Chairman BMG also appealed the Sindh Government to look into the possibility of raising pay packages of police officers to such an extent that they were able to easily overcome all their domestic expenditures and honestly discharge their duties without seeking bribe as under the present circumstances, it has become impossible for a police officer with four kids to handle his domestic expenses, hence he has no other choice but to seek bribe. “Penal action and regards are equally important to improve the law & order situation of Karachi. Those officers who perform really well must be promoted whereas the others who fail to deliver should be demoted and transferred to far flung areas of the province”, he added.
To deal with frequent traffic jam issue, he suggested that signal adherence must be strictly implemented and one-way violation should also not be tolerated at any cost while the youngsters must also not be allowed to ride bikes without a valid driving license.
Vice Chairman BMG Jawed Bilwani hoped that during the tenure of Imran Minhas, the law & order situation improves in Karachi which has deteriorated sharply nowadays particularly in District South and West. He suggested to compile a database of criminals in which date-wise records pertaining to arrests and bails of criminals must be maintained and publicized so that the honorable judges and everyone could see and analyze how many times these culprits had been apprehended and released on bail which would prove very fruitful.
General Secretary BMG AQ Khalil stated that it was a matter of concern that Karachi was the only city whose actual population has not been determined to date hence, in such a situation, it was impossible to evaluate the problems of this city, particularly the size of police force required for maintaining law and order situation of Karachi. “Rangers enjoys more powers and facilities as compared to police which needs to be strengthened, provided insurance facility and other perks, besides fully equipping them for efficiently dealing with criminals”, he added.
Earlier, President KCCI, in his welcome address, stated that the Karachi Chamber, being the premier and largest chamber, plays the role of a bridge between the law enforcing agencies and the business community so that the issues could be amicably and promptly resolved. He underscored the need to carry out effective policing all over Karachi where the population has risen to around 25 to 30 million whereas the law & order situation has been worsening day by day due to increase in street crimes, burglaries, thefts, motorcycle and vehicle snatching etc. which were widely being reported from almost all parts of the country.
PCLC Chief Hafeez Aziz requested AIG to nominate a DSP who must be tasked to look into and promptly resolve the issues being raised by KCCI.
The meeting was also attended by Chairman Businessmen Group & Former President KCCI Zubair Motiwala, Vice Chairman BMG Jawed Bilwani, General Secretary BMG AQ Khalil, President KCCI Muhammad Idrees, Senior Vice President Abdul Rehman Naqi, Vice President Qazi Zahid Hussain, Former Presidents Saeed Shafiq, Majyd Aziz, Younus Muhammad Bashir, Shamim Ahmed Firpo, PCLC Chief Hafeez Aziz and others.
FPCCI President Mian Nasser Hyatt Maggo recorded his strong reservations on the attachment of bank account under section 140 of the income tax ordinance, 2001 and section 48 of the sales tax act, 1990 and term new amendment as a hurdles to ease of doing business as envisioned by Prime Minister of Pakistan.
He stated that on the instructions of the Prime Minister the government machinery made an atmosphere among the taxpayers that unless the taxpayers are at ease to do their business without any fear of the tax officials, it is not possible to boost the collection of revenue.
However, it seems that the said atmosphere is again at its disturbance in the light of the Board’s letter dated 11-10-2021 wherein attachment of bank account is ordered to be made without informing tax the payers and implementation is ordered retrospectively on all recoveries.
President FPCCI said that the trade is facing a blow due to escalation of parity between the dollar and rupee and now comes the draconian steps being taken by the Board in the shape of instructions to forcefully recover the disputed taxes from the bank accounts of taxpayers.
Maggo further added that this is totally against the recent instructions to bar the tax machinery from taking money without prior intimation to the account holders and the fresh instructions would be a dent on the Finance Minister’s pro taxpayer posture. It is also not out of place to mention that the former Chairman FBR also against such steps of the Board to collect taxes forcefully and taken practical steps to stop such practices.
He also said that the tax machinery is almost at a failure to dig out new taxpayers instead it is bent upon on hand twisting methods against the existing taxpayers to collect so called revenue.
On the other hand if such practices are enforced it will pile up the litigation between the tax collectors and taxpayers and the courts are already at a burden due to such litigation.
The trade community feels that the hierarchy of the FBR is under pressure to meet their targets and to recover the disputed taxes by using their extra ordinary powers.
In recent months, the taxpayers have been complaining about the “highhandedness” by the FBR. The matter had also landed in the Senate Standing Committee on Finance that last week recommended the government to sack taxmen who made exaggerated tax demands and then rejected appeals of taxpayers under pressure from FBR headquarter.
Maggo registered a strong complaint on behalf of the Business Community against the orders passed by the FBR and urged to review its policy and collect the taxes under the trade friendly atmosphere.
KARACHI: Karachi Chamber of Commerce and Industry (KCCI) has criticized the decision to restore powers of Inland Revenue (IR) officers to recover due and taxes through bank account attachment without prior information.
