KARACHI: President of the Korangi Association of Trade and Industry (KATI) Muhammad Ikram Rajput has expressed concern over the Federal Constitutional Court’s decision to reject a plea seeking to declare raids on taxpayers without a registered case unlawful, and over the subsequent expansion of powers granted to tax authorities.
In a statement issued on Saturday, Rajput said that under the new provisions, tax officials would be authorised to conduct inspections at business premises without prior judicial approval and to seize computers, documents and records. He said the development had caused unease within the business community.
He described the expanded authority as disproportionate, cautioning that it could disrupt commercial activity. According to Rajput, businesses are already facing rising costs and financial pressures, and such measures could increase uncertainty in the market.
He also stressed the importance of safeguards to prevent potential misuse of authority, noting that unchecked powers may affect investor confidence and overall economic activity.
The KATI president urged the government to ensure that the Federal Board of Revenue (FBR) and relevant institutions operate under clear standard operating procedures, so that enforcement actions are carried out transparently and without unnecessary disruption to legitimate businesses.
Rajput said sustainable economic stability requires a transparent, balanced and business-friendly tax framework, adding that policy should prioritise trust-building and facilitation of the business community.
He added that KATI would continue engaging with relevant authorities to support the development of a tax system that meets revenue objectives while encouraging economic growth and protecting business interests.
