Latest news with #MuhammadTehseen
Business Recorder
21-05-2025
- Business
- Business Recorder
FBATI lauds govt's decision to give power relief for industries
KARACHI: Industrialists in Karachi termed the government's decision to fix the electricity tariff at Rs 38 per unit as a business-friendly step for industries of different sizes and sectors in the commercial capital of the country. President Federal B Area Association of Trade and Industries (FBATI) Sheikh Muhammad Tehseen lauded the government's decision to give relief to industries, urging the government to continue its efforts to reduce the cost of production in a phased manner to make exports of different products competitive in the global markets. Industries urged the government to contain the electricity tariff through its policy measures by 8 cents mainly for the export-oriented sectors to enhance the likelihood of earning increasing foreign exchange for the country, he added. He said the government should continue to negotiate with IPPs to reduce the cost of electricity to industries and residential consumers while encouraging them to produce low-cost green energy through solar power plants on a long-term basis. Also, the government should pass on the benefits of lowering petroleum product prices to industries and masses to control inflation and cost of production in the country, he further said. It is pertinent to mention here that the government reduced the electricity unit prices for April by Rs 7 per unit after bringing in reforms in the power sector. Chairman Sub-Committee on Power and Former President FBATI Syed Raza Hussain said the relief to industries of Karachi would translate into the growth in exports of various products and services, hence, the government should continue to support for large-scale to medium, and small industries with every positive step. He mentioned that industries of Karachi deserve equal albeit preferential treatment because of its contribution to export growth, however, the pledged subsidy on account of incremental benefit is yet to be paid by the government. He expressed his optimism that decreasing tariffs for electricity coupled with a single digit policy rate will not only attract foreign and local investment in industries but it will also encourage industries to consume enhanced electricity, ultimately, which will benefit to all stakeholders equally, including power- producing companies and the government as a win-win situation. Copyright Business Recorder, 2025
Business Recorder
14-05-2025
- Business
- Business Recorder
Tax laws termed ‘death warrants for industries'
KARACHI: Industrialists categorically rejected the recently introduced Tax Laws (Amendment) Ordinance, 2025, describing it as undemocratic, unconstitutional, and a death warrant to industries. They denounced the ordinance for granting disproportionate authority to the Federal Board of Revenue (FBR), especially regarding tax recovery. Signed into effect by the President of Pakistan Asif Ali Zardari, the ordinance amends Sections 138 and 140 of the Income Tax Ordinance, 2001, along with key portions of the Federal Excise Act, 2005. The changes permit the FBR to execute immediate enforcement measures—such as freezing accounts, confiscating property, and sealing business premises—once a final ruling is issued by the High Court or Supreme Court, with no requirement for additional notice. The ordinance also allows FBR personnel to be physically deployed within factories and commercial sites to oversee production, stock levels, and the movement of goods. President FBATI Sheikh Muhammad Tehseen has condemned this as a serious infringement on operational freedom and a new layer of bureaucratic intrusion. 'Having tax officers embedded in our workplaces is not only invasive but amounts to institutional harassment,' said the FBATI president. 'This legislation undermines constitutional rights, weakens the role of the judiciary, and creates a hostile environment for current and potential investors.' He criticized the move for bypassing legislative and judicial oversight, which he said is a clear violation of the country's constitutional framework. Calling the ordinance overstep of authority, he stated, 'This kind of enforcement leaves no room for voluntary compliance or appeals. It's coercive and strips businesses of basic legal protections.' President SITE Superhighway Association of Industries (SSHAI) Pervaiz Masood said that the government allowed tax authorities to recover taxes from industries at gunpoint, which is an unlawful and unconstitutional act. The ordinance will seriously hit the business confidence within the country, he said. Not only it will discourage investments at a local level, but industries may move to other countries to avoid harassment culture. Copyright Business Recorder, 2025
Express Tribune
06-05-2025
- Business
- Express Tribune
Tax Ordinance withdrawal demanded
People opting for scheme will not be abiding by most of tax laws. PHOTO: BLOOMBERG Listen to article Rejecting the recently promulgated Tax Laws (Amendment) Ordinance 2025, traders have demanded its immediate withdrawal, warning that it could severely damage Karachi's industry and trade. They urged the government to repeal the ordinance in the broader interest of the business community. President SITE Superhighway Association of Industries (SSHAI) Pervaiz Masood said the government allowed tax authorities to recover taxes from industries what he termed as "at gunpoint", which is an unlawful and unconstitutional act. The ordinance that allows the revenue-collection authority to freeze bank accounts, deploy staff at sites, and offers no right of appeal to taxpayers, will seriously impact the country's business confidence, he said. Not only will it discourage investments at a local level, but industries may relocate to other countries to avoid harassment. The tax authority is reluctant broaden its taxpayers' net across the country, instead, continues to target taxpaying industrialists who are contributing to the economy even with severe challenges and issues, he said. The FBR should explore alternative sectors such as real estate and agriculture to enhance its tax revenues. It is ironic that one ordinance threatens industries, while another The Federal B Area Association of Trade and Industries (FBATI) categorically rejected the recently introduced Tax Laws (Amendment) Ordinance, 2025, describing it as undemocratic, unconstitutional, and a death warrant to industries. FBATI President Sheikh Muhammad Tehseen denounced the ordinance for granting disproportionate authority to the FBR, especially regarding tax recovery. Signed into effect by the President of Pakistan Asif Ali Zardari, the ordinance amends Sections 138 and 140 of the Income Tax Ordinance, 2001, along with key portions of the Federal Excise Act, 2005. The changes permit the Federal Board of revenue (FBR) to execute immediate enforcement measuressuch as freezing accounts, confiscating property, and sealing business premisesonce a final ruling is issued by the High Court or Supreme Court, with no requirement for additional notice. The ordinance also allows the FBR personnel to be physically deployed within factories and commercial sites to oversee production, stock levels, and the movement of goods. The FBATI has condemned the measures, calling it a serious infringement on operational freedom and a new layer of bureaucratic intrusion. "Having tax officers embedded in our workplaces is not only invasive but amounts to institutional harassment," said the FBATI president. "This legislation undermines constitutional rights, weakens the role of the judiciary, and creates a hostile environment for current and potential investors." Meanwhile, during a high-level meeting held at the Karachi Chamber of Commerce and Industry (KCCI) on Tuesday, both KCCI and the Rawalpindi Chamber of Commerce and Industry (RCCI) unanimously rejected the controversial Tax Ordinance (Amendment) 2025 but also called for the formation of a national alliance of chambers under the Inter-Chambers Harmony Committee to amplify their collective voice and demand urgent pro-business reforms from the government. The meeting was held during the visit of RCCI delegation to KCCI aiming to strengthen ties and chart a unified path forward. Businessmen Group (BMG) Chairman Zubair Motiwala, who joined the meeting via Zoom, emphasised that fragmentation among chambers has historically undermined their influence. "We must raise a unified voice and work collectively to address the widespread challenges the business community is facing", he stressed. Referring to controversial government directives such as SRO709, SRO350, and the Tax Ordinance (Amendment) 2025, Motiwala warned that such policies are creating an environment of harassment and uncertainty.
Business Recorder
01-05-2025
- Automotive
- Business Recorder
Industrialists urge use of AI to manage traffic
KARACHI: Industrialists have urged the government, local authorities, and the police department to improve traffic management across the commercial capital to ensure a smooth and efficient flow of traffic and heavy vehicles during permitted hours. They emphasised the need for authorities to complete the repair and construction of highways, major roads, and underpasses, ease congestion at various interchanges, and enhance traffic management on busy routes. The local administration has extended the restriction on the movement of heavy vehicles and dumpers from 6:00 am to 10:00 pm for another two months. This restriction was imposed in response to a sharp rise in deadly road accidents in recent months, which claimed multiple lives. Currently, the movement of goods carriers is only allowed on the Superhighway, National Highway, Northern Bypass, and their adjoining areas. President Federal B Area Association of Trade and Industry (FBATI) Shaikh Muhammad Tehseen urged the provincial government to adopt a surveillance system on the main roads of the megacity to monitor over speeding of heavy vehicles, including trucks and dumpers to contain traffic accidents. AI technology and CCTV cameras can help relevant authorities to identify the violation of traffic rules and penalise the violators subsequently. Through this way, precious lives could be saved, he added. He suggested that the traffic police collaborate with industrial zone associations, trade bodies, and transporters' groups to issue licenses to trained drivers and provide fitness certificates for cargo trucks and goods carriers on a priority basis. The relevant departments should also remove road encroachments that cause traffic congestion, and educate drivers about emerging challenges and safe driving practices, especially during peak hours, he added. He stressed the importance of completing road construction and repairing dilapidated routes and arteries within the next two months to facilitate smoother traffic flow within the city. President SITE Superhighway Association of Trade and Industry (SSAHI) Pervaiz Masood stated that the next two month's ban on cargo movement should be effectively utilised to improve overall traffic management and reduce accidents across the city. He remarked that Pakistani industrialists are aiming to boost the country's exports to $35 billion in the coming years, which will require a supportive business environment, including a well-connected road network linking industrial zones with seaports, airports, and dry ports. Masood also urged the provincial government to expedite the completion of Safe City projects to monitor traffic violations and manage peak-hour traffic more effectively. He proposed that all wedding halls and public gatherings should close before 10:00 pm to facilitate the movement of goods carriers. He emphasised the need to improve overall traffic flow by enforcing traffic rules, removing encroachments, and better managing parking spaces in Karachi. Commending the government's ban on rickshaws (Chingchi) on certain roads, he described them as unsafe modes of transport in the metropolis and also called on the local government to ensure the availability of sufficient public transport for the general public and industrial workers. According to estimates, there are over 7 million registered trucks and heavy vehicles in Pakistan, with a significant presence in Karachi and its seven industrial areas having thousands of small, medium, and large-sized industrial units. Copyright Business Recorder, 2025
