Traders rejected a strike after agreement with Govt on tax penalties

The business community has postponed the strike across the country after successful talks with the government on some fiscal measures introduced through the 2025 funding law.

One day earlier, the federal government invited representatives of all trading bodies for negotiations after the business community and Karachi’s carriers announced a wheel-jam strike scheduled for July 19th.

The Karachi Chamber of Commerce and Industry (KCCI) called on the strike in protest against five key measures incorporated into the federal budget for current use, along with 32 anomalies in the funding law.

KCCI opposes sections 37A and 37B of the funding law, which claims, grant arbitrary arrests of the Federal Revenue Council (FBR).

It also faces Article 21, which imposes hard penalties on 200,000 or more cash transactions. Mandatory digital pricing in SO 709? and the imposition of e-bilty under Article 40.

Also read: Aurangzeb offers conversations to prevent strike on July 19

According to the finance ministry, a joint meeting was held on Tuesday among government officials and business community representatives.

The meeting was chaired by Finance Minister Muhammad Aurangzeb and attended members of the Chamber of Commerce, Commercial Organizations and senior government officials.

It included a detailed review of the concerns of traders, in particular with regard to Article 37A and other controversial provisions of the funding law of 2025.

During the meeting, a committee was formed by Prime Minister Haroon Akhtar Khan to tackle the business community. It was also decided that the strike would be postponed until the committee completed its work.

Read more: SCCI supports the strike against tax measures

The Minister of Finance assured the traders of the full cooperation and transparency of the government, stating:
“The government’s goal is to limit large -scale tax fraud, not to harass honest businesses.”

The Commission will also include Finance Minister Bilal Azhar Kayani, Prime Minister’s Coordinator Rana Ehsan Afzal, FBR president, and representatives appointed by the business community.

The Commission is expected to carry out detailed consultations over the next 30 days and present a practical solution based on consensus at the Federal Council. It was agreed that traders’ concerns about transactions would be addressed and efforts would be made to ensure that the business community does not face unnecessary difficulties.