Karachi, August 12, 2024 – In a bold move signaling rising discontent among Karachi’s small business community, traders have announced a major protest against the imposition of advance income tax on retail operations.
Scheduled for August 13, 2024, the protest is set to disrupt businesses across the city, just a day before the nation celebrates its Independence Day.
Rauf Ibrahim, the Chairman of the Wholesale Grocers Association, spearheaded the announcement, revealing that all shops in Jodia Bazaar, along with wholesalers and importers, will shut their doors at 1 PM. The businesses will then join forces in a rally heading towards the Karachi Chamber of Commerce. This rally, which will commence from the Jodia Bazaar City Court, aims to voice the traders’ grievances and seek a reconsideration of the controversial tax measures.
The advance income tax has been a point of contention for many small traders, who argue that it places an undue financial burden on their already struggling enterprises. Ibrahim criticized the Karachi Chamber of Commerce for not including small traders in the discussions concerning such critical tax policies. “Small traders are significant stakeholders in the economy, yet we are consistently excluded from dialogues that affect our livelihoods. The Karachi Chamber needs to acknowledge and address our concerns,” Ibrahim emphasized.
The protest highlights growing frustrations among small business owners who feel marginalized by the tax policies imposed by the government. Many argue that the advance income tax system fails to consider the financial realities and challenges faced by smaller enterprises, potentially jeopardizing their sustainability.
The Pakistan Pulse Importer Association also weighed in, stating that traders cannot be expected to function as withholding agents for the tax system. They argue that such requirements are impractical and detrimental to the financial health of small traders.
The rally is expected to draw significant attention and possibly disrupt normal business operations in Karachi. Traders are hopeful that their collective voice will prompt a review and amendment of the tax policies that they believe are unfair and burdensome.
As Karachi gears up for this significant protest, the small traders’ resolve is a clear indicator of the broader economic anxieties facing the city’s business community. With Independence Day on the horizon, the outcome of this protest could shape the future discourse on fiscal policies affecting small businesses in Pakistan.
