Karachi, May 18, 2025 – The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has categorically rejected the recently issued Tax Laws (Amendment) Ordinance, 2025, calling it a major setback for the economy and a threat to investor confidence.
At a press conference held at Federation House, FPCCI’s Senior Vice President, Saqib Fayyaz Magoon, raised strong objections to the Amendment, warning that it would fuel corruption and harassment rather than streamline the taxation process. “The government claims to be promoting a faceless customs regime, but at the same time, it is deploying Inland Revenue officers directly into factories and industrial units. This contradiction undermines the credibility of reform,” Magoon said.
He questioned the integrity of such officers, sarcastically asking whether they had been issued “certificates of honesty.” He warned that placing FBR personnel on manufacturing sites would not only hinder operations but also create a breeding ground for corruption and abuse of authority.
Magoon further criticized the Amendment for granting sweeping powers to the Federal Board of Revenue (FBR), including the right to recover taxes directly from business bank accounts under Section 140—without prior notice. He compared the removal of appeal rights for taxpayers to bypassing due legal process, calling it “a direct assault on justice.”
Another major concern raised by the FPCCI leadership was the government’s attempt to phase out captive power generation, which, they said, would destroy billions of dollars of private investment in energy infrastructure. The Amendment, they argued, directly conflicts with the Special Investment Facilitation Council’s (SIFC) goal of attracting foreign investment while the FBR continues to harass local businesses.
Vice President FPCCI Muhammad Aman Paracha highlighted the deepening “trust deficit” between the government and the business community, asserting that tax revenue targets would remain unmet unless confidence was restored through consistent long-term policy. He stressed the need for a 10-15 year economic plan.
Nasir Khan, another FPCCI Vice President, condemned the Amendment, saying that enemies of the economy were not outside Pakistan’s borders, but within the policymaking circles. He appealed to the Army Chief to safeguard investor interests.
Senior FPCCI leader Bashir Jan Mohammad urged immediate dialogue with the Prime Minister to address the damage caused by the Tax Laws (Amendment) Ordinance, 2025 and prevent further erosion of industrial stability.