Karachi: The Karachi Chamber of Commerce and Industry (KCCI) has urged the Federal Board of Revenue (FBR) to halt the implementation of the Tajir Dost Scheme and withdraw the tax notices served to small shopkeepers, demanding an unrealistic monthly tax of Rs60,000. President KCCI, Iftikhar Ahmed Sheikh, highlighted the severe challenges posed by this demand amidst soaring inflation and high utility tariffs, which he claimed are jeopardizing the survival of small businesses.

According to Karachi Chamber of Commerce and Industry, the Tajir Dost Scheme has significantly increased the financial burden on small traders by imposing a much higher tax than initially promised. This scheme was intended to simplify tax procedures and reduce the burden on small shopkeepers with a nominal tax ranging from Rs1,000 to Rs1,200. However, the reality has been drastically different with all shopkeepers, whether registered or not, being asked to pay Rs60,000 per month. This has caused widespread discontent and fear of business closures among the affected parties.

President Sheikh argued that the scheme is flawed and requires urgent revision. He called for a temporary deferral of the scheme for three months to allow for necessary consultations with all stakeholders to rectify the issues. Furthermore, he emphasized that the current economic conditions, exacerbated by high inflation and utility costs, leave shopkeepers with little choice but to shut down their businesses if the tax demands persist.

The KCCI president also appealed to Prime Minister Shehbaz Sharif and Finance Minister Muhammad Aurangzeb to intervene and prevent further harm to shopkeepers who are already struggling to cope with the decreased purchasing power of consumers. Sheikh’s statement concludes with a strong rejection of the Tajir Dost Scheme as it stands, advocating for a more business-friendly approach in its implementation.