‘Tax-laden’ budget worries businessmen

RCCI denounces government’s fiscal measures, perceives them as anti-business

RAWALPINDI:

The Rawalpindi Chamber of Commerce and Industry (RCCI) has voiced significant concerns over the federal budget for 2024-25, denouncing it for imposing excessive taxation and introducing measures perceived as anti-business.

An emergency meeting, which saw participation from representatives of various trade organisations, industries, and tax associations, culminated in a decision to initiate a nationwide shutdown in protest.

The attendees unanimously rejected the budget proposals, labelling them "anti-business" and "anti-trade," and expressed apprehension that these measures could force businesses to shut down.

The meeting was presided over by RCCI President Saqib Rafiq, with Group Leader Sohail Altaf also in attendance. Representatives from the Institute of Cost and Management Accountants of Pakistan (ICMA) and various tax associations delivered a comprehensive briefing on the budget proposals, including tax rates, penalties for filers, non-filers, and late filers, as well as the imposition of double and advance taxes.

The participants collectively rejected these proposals and demanded the government address their charter of demands.

Industries represented at the meeting spanned a wide range, including poultry farms, health, mobile, furniture, travel and tourism, stationery, marble, construction, property, gems, and jewellery sectors.

Tax association officials also expressed their strong reservations regarding the budget, warning that the proposed measures could lead to widespread business closures.

Senior Vice President Muhammad Hamza Sarosh, Vice President Faisal Shehzad, former presidents, executive committee members, and a large number of chamber members attended the meeting. Notable representatives from various trade organizations, including Shahid Ghaffor Paracha, Sheikh Hafeez, Sheikh Sadiq, Arshad Awan, and Munir Baig Mirza, were present as well.

Chamber President Saqib Rafiq stated that the meeting resolved to present a charter of demands to the government before proceeding with the nationwide strike.

He emphasised the need to consult with all factions of chambers and trade organisations nationwide to ensure unified support for the strike. Rafiq criticized the budget for not reflecting ground realities and for the lack of consultation with stakeholders.

He highlighted that the budget's measures, including a 40 per cent tax increase, would unduly burden existing taxpayers and potentially lead to the closure of many businesses and industries.