ISLAMABAD, Jul 13: A representative body of the traders on Monday announced a countrywide shutter down next month if the federal government did not withdraw withholding tax on banking transactions.
Addressing a press conference here, President Anjuman-e-Tajiran Khalid Pervaiz rejected 0.3 percent withholding tax on banking transactions.
“We will have a countrywide shut down on August 5,” he told media.
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.
“We altogether reject this kind of withholding tax,” he added.
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 be applicable till 30th September this year.