FBR accused of attacking small merchants by forcefully installing POS devices and closing shops
Traders in the federal capital on Tuesday warned the government of large-scale protests, including road blockades and a possible nationwide lockdown, if it does not withdraw the policy, which mandates the installation of point-of-sale (POS) devices, which they described as a “black law”.
The warning came from the Pakistan Traders Association and the Islamabad Traders Action Committee, which announced January 16 as the deadline for the government to revoke the policy. Trade leaders threatened to block major intersections in Islamabad and intensify their protests if their demands were ignored.
Addressing a protest rally, Pakistan Traders Association President and Islamabad Traders Action Committee chief Ajmal Baloch accused the Federal Board of Revenue (FBR) of targeting small traders by forcefully installing POS devices and closing shops. He said traders would strongly resist any such action.
The rally, organized against the POS policy, marched from Aabpara Chowk towards the FBR offices. It was led by Ajmal Baloch and was attended by a large number of traders and their representatives from Rawalpindi and Islamabad.
Heavy police deployment stopped the demonstration before it could reach the FBR offices. Following the blockade, traders staged a protest at the site, where leaders of various trader organizations in the federal capital addressed the meeting.
On the occasion, Baloch called for legislation to introduce death penalty for the corrupt. Citing an IMF report, he claimed that corruption worth Rs 53 trillion occurs annually across the country, with most of it attributed to the FBR.
He alleged that corrupt elements within the department had turned their attention to merchants, creating what he described as a widespread bribery system linked to the installation of POS devices in small stores.
A day earlier, FBR Chairman Rashid Langrial assured merchants that those who cannot afford the POS system will be given relief and no merchant will be harassed. A delegation of traders led by Pakistan Central Traders Organization president Kashif Chaudhry met the FBR chairman on Monday.
During the meeting, Chaudhry briefed the FBR chairman about the challenges faced by traders, including alleged harassment by tax officials and difficulties faced by small businesses due to implementation of POS system.
He said that despite the concerns of merchants, the implementation of the POS system in local and international brands and chain stores has begun. While these companies generally have computerized systems, backup power, trained staff, and management capacity to adopt the system, smaller companies operating within these chains continue to face practical difficulties.
Chaudhry added that the implementation of the POS system has significantly increased operating costs for smaller merchants. He said merchants face excessive interference, sanctions and store closures under the pretext of documentation, creating an atmosphere of fear and uncertainty.
