Business Community Raises Concerns Over Possible Misuse; Further Deliberations Ordered
ISLAMABAD:
Prime Minister Shehbaz Sharif has taken note of a contentious proposal in the federal budget that would grant the Federal Board of Revenue (FBR) the authority to arrest traders accused of tax fraud, with potential jail terms of up to 10 years.
The matter was discussed in a high-level meeting chaired by the premier on Monday, attended by Finance Minister Muhammad Aurangzeb, FBR officials, and senior legal advisers.
According to sources familiar with the discussion, the provision is included in the proposed finance bill, sparking criticism from the business community over fears of possible abuse of power. The Pakistan Business Council (PBC) has formally urged the prime minister to reconsider the move, warning that it could erode business confidence and hamper economic activity.
Officials said the prime minister has been briefed on the legal, economic, and administrative implications of the proposed measure and has directed that further consultations be held before any final decision is taken.
The FBR, defending the proposal, argued that stronger enforcement mechanisms are essential to counter chronic tax evasion and improve revenue generation. However, business leaders warn that without proper safeguards, the powers could be exploited and discourage investment.
In a separate meeting focused on the development of the IT training ecosystem, Prime Minister Shehbaz Sharif underscored the importance of equipping the youth with market-relevant digital skills to meet both domestic demand and global employment standards.
He emphasised that training programmes must be tailored to industry needs to ensure that young professionals can find meaningful employment, boost the local IT sector, and contribute to foreign exchange earnings. The prime minister reiterated his government’s commitment to producing a steady stream of skilled professionals to support economic growth and innovation.
