PESHAWAR: A grand Jirga organized by the Awami National Party (ANP) has unanimously rejected the federal government’s decision to impose taxes in Malakand Division and the merged districts, calling for the immediate withdrawal of the measures.
The gathering brought together leaders of various political parties, lawmakers, lawyers, traders, hotel association representatives, transporters, and members of civil society. Following detailed deliberations, participants issued a joint declaration opposing the proposed tax regime
According to the declaration, the levying of taxes in the area would constitute a breach of historical and constitutional pledges to the people of Malakand and FATA. The jirga asked the central government to revoke its decision immediately.
The participants further demanded that the KP government to repeal the sales tax law implemented in Malakand in 2024 and the related laws.
According to the Jirga, the Malakand division and merged districts have been facing huge losses on account of militancy, floods, and other natural calamities, thus adversely impacting tourism and agriculture in the area. They feared that introducing new taxes would add to the burden of the people of the area.
In this regard, it was further stated that Malakand is an area where the country enjoys its national resources like minerals, forests, and hydropower, and there should be provision of priority rights to locals over the revenues obtained from such resources. The declaration called for allocation of 60 percent of the mineral income collected in the merged areas to the local areas development work while electricity from seven hydropower projects in Malakand would be supplied to the local populace at the rate applicable to national grid.
In addition to the above, the jirga asked the government to make sure about equal division of the resources amongst the provinces through timely announcement of the NFC award. No such initiative would be taken to impose taxes against the terms laid down by international organizations like the IMF to earn tax revenue from the locals.
Moreover, a special development package needs to be provided to the locals for the promotion of tourism and rehabilitation of the damaged infrastructure, along with the creation of jobs for youth.
The declaration warned that if the tax measures are not withdrawn, political parties and public representatives would launch a phased protest movement within the framework of the Constitution and the law, holding the federal and provincial governments responsible for any resulting administrative or political consequences.





