Preemptive measures: Outrage in Malakand over FBR’s tax proposal

Businessmen fear levying taxes in the division will increase unemployment.


Fazal Khaliq January 18, 2013
Traders and civil society members vowed to resist any plans of the government to impose dues on traders and factories. DESIGN: FAIZAN DAWOOD

SWAT: Businessmen and trade unions across Malakand strongly objected to the Federal Board of Revenue’s (FBR) proposal to implement taxes in the division.

People familiar with the matter said the FBR has prepared recommendations to remove Malakand division’s current tax-exempt status and has contacted the K-P government regarding implementing the proposal.

“The government will have to walk over our dead bodies to tax Malakand division. Taxes mean financial death for the people of this land,” Swat Traders Federation President Abdur Rahim told The Express Tribune.



Traders and civil society members vowed to resist any plans of the government to impose dues on traders and factories. Businessmen said they could take extreme measures to prevent the government from levying taxes.

“Article 247 of the constitution has declared Malakand division a tax-free zone. How can the incumbent government try to change that?” said Amjad Khan, a trader and political activist in Mingora.



“It’s not the first time the FBR has tried to implement taxes here – they tried in May 2012 but it was rejected by all walks of society,” said Rahim Zada, a social activist in Swat. “Again, we not only reject the FBR’s move but warn them of dire consequences if they go ahead with their proposal.”

“There used to be more than 400 silk industries and other factories – today there are less than 100.  With taxes, the rest will also be shut down and thousands will go jobless, making life in Malakand grimmer,” said Babar Khan, a businessman in Batkhela.

Published in The Express Tribune, January 18th, 2013.

 

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