Punjab traders to observe strike on 7th

HASSAN ABBAS

LAHORE: Thousands of businesses could be hit by a general strike calling for a complete shutdown of shops throughout the Punjab on July 7 as the All Pakistan Anjuman-e-Tajran protests the implementation of a 0.6-percent withholding tax on cash withdrawal by non-filers of income tax returns.

Anjuman-e-Tajran President Khalid Pervez and central leader Abdul Razaq, whose call came on Saturday after a meeting, told Business Recorder that the government must drop the decision. “In case the tax is not withdrawn, there will be a complete shutter-down strike in the Punjab on Tuesday, July 7,” they warned.

They also rubbished claims of talks being underway between them and Finance Minister Ishaq Dar, whom they called “an agent of the International Monetary Fund and other donor agencies”, saying, “Those who talking about the economic growth are now playing policies in favour of an interest-based system. The withholding tax deduction is a serious blow to entire business activities and depositors are facing difficulties.

“From July 1 the tax has been implemented and under this every transaction of Rs. 100,000, banks deduct Rs. 600. Because of this, the traders are making payments in hard cash and because of this, people are afraid of becoming tax-registered.”

They then announced that the trade community would never offer any support to the government and no tax official would be allowed to enter any market unless the tax was withdrawn.