KCCI backs nationwide strike to protest tax hikes

By Our Correspondent
August 24, 2024
The Karachi Chamber of Commerce & Industry (KCCI) building. — Facebook/Kcciofficial/File
The Karachi Chamber of Commerce & Industry (KCCI) building. — Facebook/Kcciofficial/File

KARACHI: The Karachi Chamber of Commerce & Industry (KCCI) has expressed its full support for the nationwide strike planned for August 28 by traders.

The strike aims to pressure the government into immediately withdrawing the controversial Tajir Dost scheme and addressing high electricity bills and excessive taxes that are burdening businesses.

In a statement released on Friday, President of the KCCI Iftikhar Ahmed Sheikh condemned the government’s demand for an exorbitant advance tax of Rs60,000 per month from both registered and unregistered traders.

Sheikh argued that this demand is not only unfair but also untenable for over 80 per cent of shopkeepers across Karachi. Despite previous assurances that taxes would be limited to Rs1,000 to Rs1,200, the Federal Board of Revenue (FBR) is insisting on the Rs60,000 tax, which the KCCI vehemently opposes.

Sheikh urged the government to postpone the Tajir Dost scheme for at least three months and engage in meaningful consultations with all stakeholders. He highlighted the need for the scheme to be revised to ensure it is practical and beneficial for all parties involved.

The president of the KCCI noted that the chamber has previously warned policymakers about the risks of poorly implementing the Tajir Dost scheme. However, these warnings have been largely ignored. He called for an immediate reassessment of the scheme, urging the adoption of measures that are both feasible and acceptable to the business community.

He said that in this rising inflation, it has become extremely difficult for shopkeepers to continue their businesses whereas the government, instead of providing relief, continues to impose heavy taxes and keeps on raising electricity bills which are not acceptable to any trader.

The KCCI, representing the voice of Karachi’s business community, stands firmly with small traders and shopkeepers in their fight for relief and fair treatment and has decided to fully support the countrywide strike call on August 28.