KARACHI: The Karachi Chamber of Commerce and Industry (KCCI) has voiced strong opposition to the recently promulgated Tax Laws (Amendment) Ordinance, 2025, citing concerns over excessive regulatory oversight and lack of stakeholder consultation.
Speaking to the media following a seminar on digital invoice registration and integration—organized by KCCI in collaboration with PRAL—KCCI President Javed Bilwani sharply criticized key provisions of the new law, especially Section 175C, which allows Federal Board of Revenue (FBR) officers to be stationed at manufacturing units.
“How can an FBR representative sit in our factories?” Bilwani questioned, expressing the business community’s alarm over potential interference in daily operations. He argued that such measures could open the door to harassment and administrative overreach.
Bilwani confirmed that the Chamber has formally communicated its objections to the FBR in writing and urged the government to reconsider its position. “We hope the government will take a rational approach and involve stakeholders in future decisions,” he added.
Another area of concern is the rollout of new digital invoicing regulations. The KCCI chief stated that the FBR did not consult with the Chamber prior to introducing the digital tax compliance framework. While acknowledging that digital transformation is necessary, Bilwani criticized the lack of coordination, arguing that better outcomes could have been achieved through inclusive dialogue.
The Chamber also raised issues with the compliance timelines, calling the June 1 deadline for corporate entities and the July deadline for non-corporates “unrealistic.” KCCI urged the FBR to extend these deadlines to ensure smoother implementation.
In addition, Bilwani voiced frustration over current economic policies, particularly high interest rates. He described the recent one percent reduction in rates as “inadequate” for stimulating business activity and claimed the Prime Minister had failed to honour his promise of lowering interest rates to single digits.
FBR Director General IT Ayesha Farooq, who spoke at the seminar, reassured participants that the e-invoicing rollout is part of a broader digital transformation effort. She added that consultations with the business community are ongoing and that the new system will initially target the FMCG and corporate sectors, with multiple software solutions under development to assist businesses in transitioning.
