Withholding Statements Under Section 165

Quarterly, on the 20th of April, July, October and January, under section 165(2). The half-yearly dates of 31 July and 31 January that still circulate were replaced by the Finance Act 2020.

Yes. The first proviso to section 165 requires every person within sub-section (1) to file a statement even where no withholding tax was collected or deducted during the period.

Anyone collecting or deducting tax under the withholding provisions. In practice a prescribed person under section 153 who has been deducting, and any employer deducting from salary. A company is a prescribed person at any turnover; an individual or association only at Rs 100 million of turnover in a preceding year.

Under entry 1A of the section 182 table, fifty thousand rupees where the tax was paid on time and the statement is filed within ninety days of the due date. Otherwise two thousand five hundred rupees for each day of default, with a minimum of ten thousand.

No. Section 182A turns on the return under section 114, not on section 165 statements. The consequences are the penalty and, for a PSEB-registered exporter, the section 154A(2) condition.

Section 154A(2) makes the export deduction final tax only where the return, the withholding statements for the year, and sales tax returns have been filed where required. A missed statement therefore puts final tax treatment of the export receipt at risk, not just a penalty.

Quarterly. All three figures are in circulation because rule 44 said monthly until SRO 849(I)/2019 made it biannual, and the Finance Act 2020 then made the statute quarterly without conforming the Rule, which still reads biannual today. Section 165(2) fixes the dates in primary law and FBR Circular No. 3 of 2020 confirms the change.

Yes. Section 165(6) requires an annual statement for salary deductions, section 165(7) an annual statement within thirty days of the end of the tax year, and section 165(8) a reconciliation statement by the section 118 return due date.