DAWN Editorials - 6th May 2025

[zarnishhayat]

Coercive tax powers

THE amendments to the tax laws giving vast coercive powers to the FBR, and allowing it to circumvent existing laws and court judgements for immediate tax recovery will open a new Pandora’s box. With the promulgation of the Tax Laws (Amendment) Ordinance, 2025, the agency gets the powers to freeze bank accounts, attach movable and immovable properties and seal business premises to recover outstanding tax liabilities. Once a high court or the Supreme Court decides a tax-related matter against taxpayers, the FBR will be able to recover the due amount without prior notice. The revenue board is also empowered to depute tax officials at the manufacturing/ business premises to monitor the production, supply and stock of unsold goods. The changes have ostensibly been made to pre-empt businesses from hiding behind legal procedures and tedious court proceedings in order to delay or avoid the payment of the taxes due.

That the ordinance has drawn criticism from the trade bodies is not surprising. There are also indications that businesses will challenge these changes in court as these are seen as violative of Article 10A of the Constitution that guarantees the right to a fair trial and due process for all persons, both in civil and criminal matters. Besides, the ordinance also clips the authority of the courts by taking away their power to suspend the recovery, coercive or otherwise, of the taxes due at the time the verdict is passed to enable taxpayers to lodge an appeal in higher forums. In other words, the ordinance limits the remedies against the high-handedness of the FBR, undermining the safeguards provided in existing laws and by previous court judgements. The authorities believe that applying coercive tactics will help them improve enforcement and speed up the recovery of taxes worth billions of rupees stuck in the judiciary for the last several years. Their frustration with the inordinate delays in the settlement of tax matters by the courts is understandable. But is it desirable that they override the constitutional protections available to taxpayers, especially when stories of the cavalier tactics used by tax collectors to extort money — or meet their targets — are known to all? With the inequitable and corrupt tax system already dragging down growth and investment, the new coercive measures will create more compliance and enforcement challenges than solve the existing ones.

Published in Dawn, May 6th, 2025


United front

AT a time when hardliners in India are beating the drums of war, internal unity is essential to face the challenges confronting Pakistan.

In this respect, the administration did well to invite all mainstream parties to an in-camera briefing on Sunday, to apprise them of the threat perception. The meeting, which was addressed by the ISPR chief and the information minister, was attended by representatives of all major parties, except the PTI.

According to a PTI spokesman, the party skipped the “one-sided briefing”, and instead, called for a multiparty conference to discuss the crisis. However, he added that his party stood “shoulder to shoulder” with the military in case of any foreign aggression. It is unfortunate that the PTI stayed away from the conclave. While internal differences between parties and the state may persist, at a time of national crisis these should be put aside, with full focus on how the country can confront external threats. The state, on its part, should continue efforts to include the PTI in consultations to evolve a national response based on collective input.

On the external front, the state is continuing its diplomatic outreach to counter India’s warmongering, and communicate Pakistan’s views to friends and partners. As the UN Security Council prepared to meet on Monday to discuss the crisis in South Asia at Pakistan’s call, the UN chief pleaded for “maximum restraint” by both sides. UN involvement can play a major role in de-escalation.

Elsewhere, Pakistan’s prime minister and foreign minister continue to engage with foreign friends, with the result that Russia has offered its good offices to mediate “if there is mutual interest” from India and Pakistan, while the GCC has also stressed the need for dialogue and de-escalation. If India is interested in a peaceful resolution to this crisis, it should consider these rational calls.

Beyond noise and chest-thumping, India has been unable to produce any credible evidence linking Pakistan to the terrible killings in Pahalgam. It is evident that this country was blamed even before the preliminary investigations could get under way, and the tragedy was used by India to further scuttle ties and achieve long-cherished goals, such as tinkering with the Indus Waters Treaty.

Now, as it has failed to rouse the world against Pakistan, New Delhi must act responsibly and dial down the rhetoric, while working towards restoring calm in the subcontinent. Chiefly, Indian officials should stop making inflammatory statements against Pakistan, while hardliners in this country should also be countered with more rational voices. While not much can be expected from jingoistic anchors, particularly in India, respectable media outlets on both sides need to avoid alarmist coverage and report in a responsible manner.

Published in Dawn, May 6th, 2025


Blocked online

CITIZENS of India are welcome to join the VPN club. With New Delhi left looking rather sheepish after jumping the gun and blaming Pakistan squarely for the Pahalgam attack, and its narrative finding few takers around the world, the Modi regime decided last week to escalate tensions in what is possibly the strangest way possible: banning popular social media accounts from Pakistan. Since then, the Indian government has gone on the offensive against Pakistani sports stars, popular celebrities and news channels, and now politicians as well, ordering social media companies and content platforms to withhold their posts after declaring their content too “provocative” for Indian audiences. One wonders amidst this madness where New Delhi’s priorities truly lie. Instead of ensuring security and protection for its people, the Indian government seems far more concerned with protecting them from the memes Pakistanis have been posting in response to its constant jingoism. Does the Modi regime feel that the echo chambers it has built for the Indian people are under threat from our dark humour?

The people of Pakistan and India share much in common, especially when it comes to their choices of entertainment. They follow each other’s sporting leagues, film and TV celebrities, social influencers, cooking channels and much more. This is a natural consequence of two countries sharing a common past and similar cultures. However, with the advent of the BJP’s toxic brand of Hindu revivalism, New Delhi has gone to great lengths to disavow its western neighbour, including, now, by blocking Pakistani accounts online. They could have asked the Pakistani authorities: such bans hardly work. What one consumes over the internet usually comes down to a matter of choice, and if Indian citizens are interested in watching or reading what Pakistanis have been posting online, they will find a way to continue doing so, regardless of their government’s thoughts. After all, that is what Pakistanis have become experts at in the past few years.

Published in Dawn, May 6th, 2025