The Vice President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Muhammad Aman Pracha, has stated that in order to successfully meet tax collection targets, it is essential that the government withdraw the unnecessary powers granted to the FBR bureaucracy. He emphasized the urgent need to resolve the serious issues arising from the implementation of the e-invoicing system for both corporate and non-corporate taxpayers and to simplify the system by reviewing the difficulties faced by taxpayers.

Aman Pracha further stated that to ensure sustainable growth in the industrial sector, there must be an immediate review of Sections 37A and 37B of the Sales Tax Act, 1990. These provisions, which grant tax authorities sweeping powers including arrest and prosecution, have created an environment of fear and uncertainty among both local and foreign investors. He said FPCCI has always supported transparent and fair tax collection methods but strongly opposes harassment and undue interference. Restoring investor confidence is directly linked to economic stability.

The FPCCI Vice President also highlighted that the business community is facing serious challenges in complying with a new income tax law, which applies to cash sales exceeding Rs. 200,000 per transaction. He warned that the continuous imposition of new regulations will not only hurt existing businesses but also deter potential new investments.

Aman Pracha further explained that companies operating in remote areas that bring in cash to deposit in banks will be heavily affected if the current 20% tax rate is imposed. This, he cautioned, would make it nearly impossible to bring tax collection into the banking system in those regions and would hinder the supply of goods to companies operating in remote areas.