PESHAWAR: Khyber Pakhtunkhwa Assembly here on Sunday unanimously passed a resolution to demand of the federal government to immediately withdraw its decision about imposition of taxes in Malakand division and erstwhile Federally Administered Tribal Areas (Fata).

The joint resolution was moved by member of treasury benches Dr Hamidur Rehman during a sitting held with Speaker Babar Saleem Swati in the chair. It said that the federal government had exempted erstwhile Fata from tax for 10 years besides Malakand division enjoyed tax relaxation.

It said that tribal districts and Malakand division still faced militancy and lacked basic resources besides the federal government too failed to fulfil its promises it had made with people from both the areas about provision of funds.

“This house recommends to the provincial government to recommend to the federal government to withdraw the decision of imposing proposed income tax, custom tax and sales tax in Malakand division and ex-Fata and ex-Pata,” said the resolution.

Passes unanimous resolution; approves Rs121 billion supplementary budget

Earlier, lawmakers also objected to recruitment process for contract-based doctors and demanded a probe into what they called ‘violation of rules’ in the process. They alleged that merit was violated and deserving candidates were deliberately given lesser marks during interviews to accommodate undeserving candidates.

Minister for Health Khaleequr Rehman said that a departmental selection committee was formed at divisional levels and the process was finalised on May 15. He said that a grievance redressal committee was in place to look into complaints.

The minister for local government, Meena Khan Afridi informed the house that 2,400 doctors, from the same areas, were recruited as medics from other districts were not willing to perform duty in those areas. A cabinet meeting today [Monday] would discuss lawmakers’ reservations, he added.

Treasury MPA Obaidur Rehman said that it was beyond the domain of commissioner, deputy commissioner and additional deputy commissioner to conduct interview for recruitment of doctors.

Taking part in debate during the sitting, which also approved supplementary budget of Rs121 billion for the fiscal year 2025-26 after all cut motions were bulldozed by the chair, PPP’s Ahmad Karim Kundi said that some of the colonial articles mandated supplementary budget, but it was the spirit of Constituent that any fund, the government wanted to spend, should be permitted by the house.

“The entire world has shut down supplementary budgets and this should be discouraged. Approval after spending should end,” he said.

He stated that farmers were fighting over irrigation water. He said that according to IRSA accord, KP’s share was 8.78 million acres feet of water but it got 5.7 million acres feet while the rest went unutilised.

He said that his party rejected taxing Malakand division and tribal districts. He said that the issue should also be resolved collectively but the government must take the first step.

Disgruntled treasury lawmaker Sajjad Barakwal termed supplementary budget a robbery and requested the chair to form an audit committee.

Minority MPA Askar Parvez said that missionary schools built over 100 years ago needed repair. He asked government to recruit minority teachers in government schools.

PML-N’s Rashad Khan said that merit was violated in recruitment of doctors. He requested the chair to form a committee to probe the issue.

He stated that Malakand division faced earthquakes, floods, cloudbursts, militancy and military operations. He said that until the area was developed and brought at par with other districts, there should be no tax.

He also stated that the supplementary budget should be discussed in parliamentary committee and ongoing schemes should be completed before announcing new ones.

JUI-F’s Rehana Ismail questioned as to why the government tabled supplementary budgets every year. She stated that globally, debates were held on budget but there was no debate in the house.

Treasury member Asif Mehsood stated that of seven border points, trade routes of Bajaur and Mohmand with Afghanistan were closed for 15 years, Khyber border crossing for eight months, Ghulam Khan for around two years and Angoor Adda border crossing was also closed.

He said that only Torkham border generated Rs2 billion daily. He added that according to data from 2006-07, it generated US$4 billion annually which had dropped to US$500 million.

He stated that locals suffered due to ban on exports and thousands lost their job which led to unemployment and caused an upsurge in anti-state activities. “They [without referring to anyone] did not engage lawmakers and it was not their priority to raise living standards of poor people,” he said.

The chief minister’s adviser on finance, Muzammil Aslam, said that a supplementary budget was only presented when funds were utilised in emergency situation. He suggested that a joint sitting of lawmakers from KP Assembly and National assembly along with Senate should be convened to resolve the issue of taxing Malakand division and tribal districts.

Minister for Law Aftab Alam Afridi requested opposition benches to withdraw their cut motions to approve the supplementary budget for the fiscal year 2025-26, from the house. The sitting was later adjourned till 2pm on July 6.

Published in Dawn, June 29th, 2026