President of the Karachi Chamber of Commerce and Industry (KCCI), Muhammad Jawed Bilwani, has voiced profound apprehension over the newly enacted Tax Laws (Amendment) Ordinance.
Bilwani criticized the ordinance for being issued without meaningful consultation with stakeholders and bypassing parliamentary scrutiny, warning of its dire consequences for the business sector and the rule of law.
Bilwani vehemently opposed the introduction of Sections 138(3A) and 140(6A) of the Income Tax Ordinance, which empower tax authorities to recover disputed tax liabilities instantly, even when judicial relief has been granted. This move, according to Bilwani, undermines the authority of court decisions, erodes taxpayers’ constitutional rights, and encourages an oppressive tax system.
He further condemned the addition of Section 175C, which permits inland revenue officers to be stationed at business locations under unclear conditions. Bilwani argued this infringes on privacy, fosters a climate of intimidation, and jeopardizes operational autonomy, sending a negative signal to investors and entrepreneurs.
The amendments to the Federal Excise Act, 2005, also came under fire for expanding enforcement powers and allowing the deployment of federal or provincial officers for monitoring. Bilwani highlighted the potential for arbitrary interpretation and misuse due to vaguely defined offenses such as “affixing counterfeit tax stamps.”
President KCCI called for the immediate repeal of the ordinance and urged the government to initiate a parliamentary debate with active participation from elected officials and industry stakeholders. “While we support fair taxation and economic documentation, we reject any legislative measure that bypasses due process and jeopardizes legitimate businesses under the guise of enforcement,” Bilwani asserted.
He appealed to the President and the Ministry of Law and Justice to adhere to constitutional values and pursue dialogue instead of enforcing authoritarian ordinances that could further destabilize Pakistan’s fragile business environment.