Council of Islamic Ideology backtracks on stance over withholding tax

The Council of Islamic Ideology (CII) on Wednesday backtracked on its stance regarding the withholding tax on bank withdrawals, which it initially called “un-Islamic,” and then clarified that the issue was still under review, Dawn reported. 

In an earlier statement, CII Chairman Allama Dr. Raghib Naeemi and other members described the withholding tax on bank withdrawals as an undue financial burden on citizens and contrary to Sharia, urging the government to reconsider its imposition for the welfare of the public. 

However, hours later, following backlash from the Federal Board of Revenue (FBR), the council issued a corrigendum, stating that the matter was still under consideration.

The clarification explained that the impression that a final opinion had been formed was incorrect. It further clarified that the council had only discussed the issue in its initial stages, with differing opinions expressed among members. 

The CII announced that it would consult experts on the matter in its next meeting before taking a final stance.