Trade Unions and political parties announced countrywide shutter-down strike on Saturday against the withholding tax on bank transactions worth Rs.50,000 and above.
Karachi based Anjuman-e-Tajiran has also announced shutter-down strike and all commercial activities and business centers will remained closed today.
President of Sindh Tajir Ittehad, Jameel Paracha while talking to media said, all the traders associations are in sync against the withholding tax and they have decided to keep all commercial centers closed today.
Muhammed Rizwan, President of Karachi Electronics & Small Traders Association said all markets of the entire city including Saddar mobile market, electronics market, Jama Cloth and Old City area will remain locked today, as all the traders are united against the tax on withdrawal of cash worth Rs.50,000 and above from the banks.
It should be mentioned here that the government whittled down the withholding tax from 0.6 percent to 0.3 rate. But, the traders demanded the termination of this tax altogether.
Addressing a press conference on July 13, President Anjuman-e-Tajiran Khalid Pervaiz rejected 0.3 percent withholding tax on banking transactions, announcing, “We will have a countrywide shut down on August 5.”
Pervaiz said that Finance Minister Ishaq Dar did not call up true representatives of traders and retailers during the negotiations held last week to cut tax rate to 0.3 percent from earlier 0.6 percent announced in the federal budget.
He said that traders have rejected any kind of tax on withdrawing cash from their banking accounts.
It should be noted here that the withholding tax was announced in the budget 2015-16 on banking transactions for the non-filers of income tax.
After hectic negotiations with some traders, Dar had said that the reduction in tax rate will remain applicable till 30th September this year. (PhotoNews/SamaaTV)
