Income Tax Return Filing in Pakistan

For salary, yes. Our salary tax calculator at /tools/salary-tax runs the current FBR slabs and shows the working slab by slab, including the allowances and credits most salaried people never claim. It is an estimate on salary income alone, so it will not account for other income, tax already withheld by your employer, or anything that needs your filing history. For everything past that, the position review is where we tell you the number.

Non-filers pay materially higher withholding rates on banking transactions, vehicle registration, property transfers and dividends. For most businesses the additional withholding over a year exceeds the cost of simply filing. Filing is usually the cheaper option even when no tax is payable.

Late returns can still be filed. There are penalties for delay, but they are far smaller than the cost of staying a non-filer, and voluntary filing is treated very differently from being caught. We assess your exposure first and tell you the total before you commit to anything.

For any year we filed, responding is included. We draft the reply, assemble the supporting documents, and represent you. For years filed by someone else, we scope it separately after reviewing what the notice actually asks.

Individuals and AOPs file by 30 September following the tax year. Companies file by 31 December. FBR does sometimes extend those dates, and every year a number of businesses plan around an extension that then does not arrive or arrives shorter than expected. We work to the original date for that reason.

Yes, and the sooner the better. The section 182 penalty is the higher of 0.1% of tax payable or Rs 1,000 for each day of default, with a minimum of Rs 10,000 for an individual with 75% or more of income from salary and Rs 50,000 otherwise, and it is cut by 75%, 50% or 25% if you file within one, two or three months of the due date. Separately, section 182A keeps a late filer off the Active Taxpayer List for that year until a surcharge is paid: Rs 25,000 for an individual, Rs 50,000 for an AOP and Rs 100,000 for a company. An individual can avoid the surcharge by undertaking to the Commissioner not to acquire any property for six months.

Yes. Section 114(6) generally requires the Commissioner’s written approval, but not if you revise within sixty days of the original filing. Approval is also deemed granted if the Commissioner does not respond within sixty days or where you declare more income or less loss, and it must be granted for a bona fide omission or wrong statement.

Yes, if you are a resident individual filing a return. Section 116(2) requires a wealth statement and a wealth reconciliation statement with every such return, and there is no income threshold: the old Rs 1 million floor was removed by the Finance Act 2013. Both go in with the return, by the return’s own due date.

Yes. Deduction at source and filing are separate obligations, and the Active Taxpayer List is built only from returns filed, so without one you pay non-filer rates on property, vehicles and banking transactions. In the return, the tax your employer withheld is claimed against the section 149 line so that it is not paid twice.