RAWALPINDI: The Rawalpindi Chamber of Commerce and Industry has raised concerns over recent policy measures by the Punjab government, including the introduction of a 16 percent sales tax on commercial property rent and arrest powers for non-compliance with the new minimum wage.
In a statement issued on Sunday, RCCI President Usman Shaukat criticized the Punjab Revenue Authority’s decision, saying the new tax regime would increase the cost of doing business for tenants, especially retailers, and discourage investment. He said the move would push legitimate businesses into the informal sector and worsen the situation in the already slow retail and real estate markets.
Shaukat added that the property and retail sectors were still facing post-pandemic challenges and warned that these measures would reduce business confidence in the province.
He also expressed concern over a clause in the Punjab budget that allows for the arrest of business owners who fail to implement the new minimum wage of Rs40,000. He called the approach coercive and said it should be withdrawn immediately to avoid potential misuse by enforcement authorities and prevent harassment of businesses.
While supporting the idea of fair wages, Shaukat said policy decisions should reflect current market conditions. He questioned the logic of a steep wage increase when national inflation had dropped to six percent.
The RCCI urged the Punjab government to review both policies and hold discussions with the business community to ensure that economic growth, job creation, and industrial stability are not affected.
