FAISALABAD, July 12: Over 400 sizing units of the country would observe indefinite strike from July 16 in protest against government’s failure to withdraw amended sections of the Sales Tax Act.

The decision was taken at All Pakistan Sizing Industries Association meeting, held here on Saturday, with Chairman, Mirza Muhammad Shafiq in the chair.

The meeting noted with concern that despite repeated requests and correspondence, the authorities concerned of the federal government failed to accept the demand of sizing owners, which had forced them to go on strike.

Through a resolution, the meeting decided that, in second phase, demonstrations and protest rallies would also be held in all big cities.

Speaking to the participants, Mirza Muhammad Shafiq claimed that owners of over 700 powerlooms factories as well as hundreds of other textile ancillary units like calendaring, bleaching, dying and printing factories would be left with no option but to close their units following the strike.

He said the Section 40-B of the Sales Tax Act was not only a threat to the industrialists but it would open a new Pandora box. The amendment, what he claimed, has given the taxation authorities powers to raid any industrial unit without any justification and seize the premises.

He said that fresh amendments made in the Sales Tax Act would force the owners of cottage industries and textile ancillary units to close their factories and start some alternative business to feed their families.

He pointed out that almost all the trade bodies of the country had been struggling for the last so many years to put some brakes to unbridled powers enjoyed by sales tax officials, but to no avails.

He demanded of the President General Pervez Musharraf and Prime Minister Zafarullah Khan Jamali to take cognizance of the situation and direct the authorities concerned for the immediate withdrawal of ill- conceived taxation policies like Section 40-B of the Sales Tax Act.