The National Assembly’s Standing Committee on Finance and Revenue on Tuesday raised strong objections to the “Income Tax Ordinance (Third Amendment) Bill 2025” and directed the Ministry of Law and Justice to review the key clauses of the bill and present them again with amendments. The committee’s 20th meeting, chaired by Syed Naveed Qamar, was held at the Parliament House in Islamabad, where financial legislation and IMF-related governance reforms were extensively reviewed.
During the meeting, members expressed their commitment to robust parliamentary oversight on matters related to public finance, transparency, and economic management. Committee Chairman Syed Naveed Qamar appeared dissatisfied with the response of the FBR Member Legal. The committee advised that the contentious clause be reviewed again and that two to three practical alternatives be presented to ensure transparency and prevent misuse of authority. Representatives from the Ministry of Finance agreed to reevaluate the matter. After consensus on other elements of the bill, it was decided that further discussion would take place in the next meeting scheduled for December 9.
The committee also postponed the review of the “Netting of Financial Arrangements Bill 2025” until the next meeting. Similarly, briefings from the Chairmen of PTA and FBR regarding regulations, taxation, and valuation procedures for bringing new and used mobile phones from abroad were also deferred.
The IMF governance report was reviewed in detail during the meeting, and the committee noted a significant gap between the proposed reforms and the government’s existing practices. The chairman highlighted the report’s recommendation that mid-year budget adjustments should not be made without parliamentary approval. The committee emphasized that the government should adopt a system of prior approval, or at least present such adjustments to the assembly on a quarterly basis, except in cases of war or emergencies where limited exceptions may apply.
On recommendations regarding the digitalization of the economy, the committee expressed concerns that internet shutdowns could hinder a fully cashless system. It advised the government to proceed gradually and cautiously. The committee also stressed the need for a hybrid system to ensure that economic activity is not disrupted by any digital interruptions. The Finance Minister assured the committee that the government is aware of these challenges and will maintain close cooperation with Parliament during the legislative process.
The meeting also discussed the “Corporate Social Responsibility Bill 2025,” introduced by Dr. Nafisa Shah. The committee directed the Ministry of Law to incorporate the agreed-upon points into the bill and present it again in the next meeting.
