Mian Zahid Hussain, President of Pakistan Businessmen and Intellectuals Forum (PBIF), President of All Karachi Industrial Alliance (AKIA), Chairman of National Business Group Pakistan, Chairman of FPCCI’s Policy Advisory Board, and former Provincial Minister for Information Technology, has welcomed the government’s newly introduced “Fixed Tax Asaan Scheme” for traders. He termed it a crucial and historic milestone toward documenting the national economy and expanding the tax net.
Mian Zahid Hussain stated that, having learned from the failure of past initiatives like the ‘Tajir Dost Scheme,’ this new scheme—formulated through comprehensive consultation with the traders community—will yield excellent results. He pointed out that the wholesale and retail sectors account for 18 percent of the Gross Domestic Product (GDP), yet their tax contribution remains a meager 4 percent. Out of the 4.4 million traders in the country, only around 300,000 file tax returns. Mian Zahid Hussain noted that this new scheme will encompass approximately 3.5 million small traders and shopkeepers, thereby not only eradicating tax evasion but also strongly promoting a documented economy.
Highlighting the details of the scheme, the veteran business leader noted that imposing a nominal 1 percent fixed tax on small traders and shopkeepers with an annual turnover of up to Rs. 200 million is a highly prudent decision that will not impose an undue financial burden. The condition to pay a minimum tax of Rs. 25,000 upon Form submission, coupled with the facility to adjust previously paid withholding taxes, will naturally attract traders to this system. Furthermore, the availability of simplified Tax Forms in local languages—including Urdu, Sindhi, Pashto, and Balochi—will make the filing process extremely convenient for the average shopkeeper. Mian Zahid Hussain also emphasized that exempting the adopters of this scheme from mandatory Point of Sale (POS) integration and tax audits is a major and commendable relief by the government. This will dispel the prevailing fear among the business community and permanently close the doors to harassment by FBR personnel.
Mian Zahid Hussain endorsed the government’s strategy and added that excluding branded outlets and Tier-1 large retailers from this fixed scheme is a fair step, as this segment is already part of the organized sector. Similarly, exempting the smallest vendors, such as those operating kiosks and pushcarts, reflects an excellent pro-poor policy. Appreciating the provision for displaying special QR code number plates at shops, he said this would not only prevent unjustified physical entry by tax inspectors into business premises but also enhance the business profile and reputation of the traders. Verification of number plates will now be conducted simply by scanning the QR code, fostering a conducive and peaceful business environment.
Mian Zahid Hussain warned that the strict penalties for traders who choose to remain outside both the fixed and normal tax regimes—fines of Rs. 10,000 in the first month, Rs. 25,000 in the second, and Rs. 51,000 in the third—are steps in the right direction, as there is absolutely no room left to keep the national economy undocumented. In conclusion, Mian Zahid Hussain urged trade organizations and chambers across the country to embrace this simplified tax system and ensure their inclusion in the Active Taxpayer List (ATL). Doing so will improve their financial credibility, reduce applicable withholding tax rates, and put the country on the path of sustainable economic growth, ultimately freeing it from the reliance on IMF loans.
