APTMA Raises Concerns Over “Draconian” Tax Ordinance

The All-Pakistan Textile Mills Association (APTMA) has lodged strong protest against Ordinance No. IV of 2025, issued on May 2, which it says introduces far-reaching and concerning amendments to the Income Tax Ordinance, 2001. President Asif Ali Zardari recently promulgated the “Tax Laws (Amendment) Ordinance, 2025” for immediate recovery of taxes from taxpayers’ bank accounts or other movable/immovable properties following decision from higher courts without any further notices. APTMA said the amendments inserted into Sections 138 and 140 of the Income Tax Ordinance effectively strip taxpayers of their legal rights and protections under the law. The changes empower the Federal Board of Revenue (FBR) beyond reason and above the High Courts and the Supreme Court of Pakistan. The revised provisions override legal timelines and judgments, granting FBR unfettered authority to enforce its demands regardless of judicial relief. The statement said that this is a draconian measure that dangerously expands the discretionary powers of the FBR, an institution already frequently criticized for high-handedness and harassment of compliant taxpayers. By nullifying court decisions and prescribed timelines, this ordinance undermines the sanctity of the judicial process and the principle of due process enshrined in the Constitution. It will only exacerbate the climate of fear and uncertainty for legitimate businesses, creating an environment detrimental to investment and growth, it added. APTMA has urged the government to immediately withdraw these amendments and engage with stakeholders to ensure that any tax reforms are fair, transparent, and respectful of the rule of law.