Jewelers Could Shutdown Gold Sales All Over Pakistan This Week

Dialogue between Federal Board of Revenue (FBR) and the All Pakistan Sarafa Gems and Jewelers Association ended without a breakthrough, raising the threat of a nationwide shutter down strike by gold traders within the next 48 hours.

According to association president Qasim Shikarpuri, both sides were able to reach an understanding on key issues including tax matters, sales tax, and registration in the tax net. However, the main deadlock emerged over Section 175C, which relates to audit and inspection powers.

The jewelers’ association has strongly opposed the proposed placement of two FBR officers at every jewelry shop, calling it direct interference in business operations.

Traders say the officers would be allowed to remain at business premises for an unlimited period to conduct audits, which they consider unacceptable.

Qasim Shikarpuri said gold traders across the country will not accept the implementation of Section 175C from April 4, and warned that a final decision on a countrywide strike will be taken after consultations over the next 48 hours.

The latest round of negotiations, held at FBR headquarters in Islamabad and attended by delegations from Karachi, Lahore, and Rawalpindi, lasted nearly three hours but concluded without a final agreement, leaving the gold market on edge over a possible nationwide shutdown.