The Korangi Association of Trade and Industry (KATI) has vehemently opposed the recently enacted Tax Ordinance 2025, condemning it as anti-business, unconstitutional, and harmful to investment.

KATI President Junaid Naqi has fiercely criticized the ordinance, declaring that the extensive powers granted to tax officials constitute economic terrorism.

Naqi’s statement highlighted the ordinance’s provisions, which empower the Federal Board of Revenue (FBR) to take drastic actions such as freezing bank accounts, seizing properties, and sealing factories immediately following a court decision, all without prior notification to the affected businesses.

He emphatically stated, “This ordinance is a blatant violation of the constitution, the judiciary, and the basic freedom of doing business in Pakistan.” Naqi further argued that instead of fostering trust within the business community, the government is cultivating an atmosphere of fear and uncertainty.

The amendments to the Income Tax Ordinance 2001 and the Federal Excise Act 2005 enable FBR officers to be stationed within factories and business premises, where they can directly oversee production, stock, and the movement of goods. Naqi described this as an egregious intrusion into private enterprise, likening it to espionage under the guise of economic oversight.

He cautioned that such severe measures would not only damage the nation’s struggling economy but also deter future domestic and international investment. “This is not legislation for the benefit of a person or a department-this appears to be a well-orchestrated move against the entire business community,” he stated.

Naqi urged the government to revoke the ordinance immediately and consult with all stakeholders before implementing any such drastic reforms.