The Federation of All Pakistan Universities Academic Staff Associations (FAPUASA) has strongly condemned the Federal Board of Revenue (FBR) for its sudden decision to revoke the 25% tax rebate granted to full-time teachers and researchers. This abrupt move, described by FAPUASA as illegal, illogical, and a violation of parliamentary authority, has sparked unrest within the academic community.
FAPUASA’s Formal Appeal to FBR
In a formal letter to the Chairman of FBR, FAPUASA President Dr. Amjad Abbas Magsi and General Secretary Dr. Muhammad Uzair have demanded an immediate withdrawal of the notification, including Letter No. 3997 dated January 8, 2025, issued by the Chief Commissioner of the Regional Tax Office, Rawalpindi.
The association argues that this decision contradicts previous government commitments and undermines the financial stability of Pakistan’s university faculty.
Tax Rebate Approved in 2024-25 Budget
FAPUASA has reiterated that the 25% tax rebate was formally approved during the 2024-25 budget speech on June 28, 2024. The relief was incorporated into income tax manuals since 2022 and recorded in the National Assembly proceedings.
This sudden revocation without consultation has raised serious concerns, as the tax relief was a crucial measure to support academic professionals already facing financial constraints due to delayed salaries, inadequate funding, and rising inflation.
FAPUASA has escalated the issue by forwarding official appeals to the President, Prime Minister, and Federal Finance Minister Muhammad Aurangzeb, urging them to intervene and resolve the matter. The association has warned that failure to restore the rebate will lead to nationwide protests against the FBR’s unilateral and unjustified actions.
FAPUASA’s Condemnation of FBR’s Decision
Expressing deep disappointment, Dr. Magsi stated that the FBR’s move is a direct violation of parliamentary authority. “These letters bypass legislative mandates based on arbitrary interpretations, undermining the authority of Parliament,” he asserted.
He further highlighted that university faculty members, who dedicate their lives to educational and research excellence, deserve government support rather than financial burden.
The removal of this tax rebate is expected to have severe financial consequences for university faculty members. Many educators are already grappling with:
- Chronic underfunding in public sector universities
- Delayed salary disbursements
- Limited research grants and funding opportunities
- Rising inflation and high living costs
FAPUASA has warned that this move will further deteriorate the morale of academic professionals, discouraging talent from pursuing careers in teaching and research.
The Legal Standpoint: FBR’s Overreach
FAPUASA argues that the FBR’s action constitutes an overreach of its authority. The Income Tax Ordinance, along with budgetary approvals from Parliament, had already ratified the 25% rebate. Any reversal of this relief should have gone through legislative review rather than an administrative decision.
This unilateral revocation has raised serious legal and ethical concerns, making it imperative for the government to reassess the legitimacy of FBR’s move.
The decision has triggered widespread frustration among academic professionals. Many faculty members, already struggling with low salaries and insufficient resources, now face an additional tax burden that further diminishes their financial security.
Potential Consequences of Tax Rebate Withdrawal
- Mass resignations from universities due to financial instability
- Brain drain as skilled educators seek opportunities abroad
- Deterioration in quality of education due to low faculty morale
- Reduced research output, affecting Pakistan’s academic standing globally
FAPUASA has emphasized that the withdrawal of the tax rebate contradicts the government’s own commitments to improve higher education and research standards.
FAPUASA’s Call for Action
FAPUASA has urged all relevant authorities to act promptly. The association demands:
- Immediate restoration of the 25% tax rebate for teachers and researchers.
- Formal clarification from FBR regarding its unilateral decision.
- A meeting with the Federal Finance Minister to discuss the tax relief measures.
- Government commitment to long-term policies ensuring financial security for academic professionals.
Nationwide Protests if Issue Remains Unresolved
If the tax rebate is not reinstated, FAPUASA has announced its plan to launch countrywide protests, bringing together faculty members from public and private universities. The association is preparing for:
- Press conferences and awareness campaigns
- Protest demonstrations in major cities
- Petitions and legal action against FBR’s decision
The academic community stands united in its demand for justice and financial stability, urging the government to fulfill its obligations towards higher education.
The revocation of the 25% tax rebate for full-time university teachers and researchers is a significant setback for Pakistan’s academic sector. FAPUASA’s strong opposition highlights the financial struggles of educators and the unilateral overreach of FBR.
Immediate intervention from the President, Prime Minister, and Finance Minister is crucial to restore the tax relief and prevent further deterioration of higher education standards in Pakistan.
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