Traders Call Off Countrywide Strike after signing an 11-point agreement with the government on Wednesday. The strike, which began on Tuesday, was against taxation and against the submission of a CNIC copy for buying and selling goods up to Rs 50,000.
The Prime Minister’s Adviser to the Treasurer, Dr. Abdul Hafeez Shaikh, accompanied by Federal Board of Revenue (FBR) Chairman Shabbar Zaidi and PTI Leader Jahangir Tareen, announced the deal at a press conference in Islamabad. ۔
As per the agreement, the condition of purchase of Rs.50,000 for Computerized National Identity Card (CNIC) will remain intact but any action against the violation has been suspended till 31st January 2020.
The two sides agreed that traders with a turnover of Rs100 million a year would have to pay 0.5per cent of turnover instead of 1.5per cent business and the same traders would not become withdrawal agents.
Electricity bill limit has been increased from Rs.60000 to Rs.1.2 million for registration in sales tax register.
Under the deal, the government also agreed to revise the turnover tax rate for low-profit areas. In this regard, the review will be made after consultation with the Traders Committee. The two sides also agreed to resolve the jewelry issues on a priority basis and to consult their associations.
Withholding tax will also be reviewed upon renewal of brokers license.
The adviser also announced that under the agreement, the government would set up a special cell in FBR, Islamabad to solve the problems of the traders immediately. The head of the cell will be a 21st or 22nd grade officer who maintains contact with the traders on an expert basis.
The two sides also agreed that the government would introduce a simple form in Urdu language to register new traders and submit income tax declarations, while business organizations would offer full cooperation in the registration of new businesses.
Under the agreement, the government will consult the business committee for the decision to exempt the sales tax for a 1,000-square-foot shop. Similarly, the government will take merchants to make decisions about the inclusion of retailers who are also involved in the sales tax registers.
Traders 11 point agreement with Government
Value of This Agreement
No value of signatures of traders and FBR officials , because laws are proposed and passed in parliament ! How it can be accepted that retailers tax from today will be .5 instead of 1.5. This agreement has zero value unless and untill passed by parliament.
“Only a hope of the ‘tax evaders’ traders !”