The Income Tax Return Filing Fee Pakistan directly to the Federal Board of Revenue (FBR) in the portal is done without any charges. If you have to seek the assistance of a tax consultant on the other hand then, the professional fees are usually in the range of Rs. 2,000 to Rs. 15,000+ is based on the complexity of your income and assets, and is only for individuals.
Income Tax Return Filing Fee and Costs is Shown Below
FBR Portal Filing: Rs. 0 (Free)
Salaried Individual: Prof. Consultant 2,000 to Rs. 5,000
Professional Consultant (Business / Complex Wealth): Rs. 10,000 to Rs. 15,000+
Active Taxpayer List (ATL) Surcharge: In case you need to be included in the ATL then the surcharge of Rs. 25,000 for individuals, Rs. 50,000 is paid to Associations of Persons (AoPs). Rs. 100,000 for Companies.
ITR is the name of the form for filing income tax returns. The name of form for filing income tax return is ITR.
Income Tax Return Filing Fee Pakistan
There are a lot of misconceptions surrounding the income tax return filing fee in Pakistan. There is one simple question that is asked by many and that is, “How much does it cost to file a tax return?” The actual answer is dependent on what you are referring to by fee. It can be the online filing process done by FBR (via website called IRIS), the service charges of tax consultant/tax attorney or additional charges like tax payable, ATL surcharge, penalties, etc. and consequences of late filing.
What Is the Income Tax Return Filing Fee in Pakistan?
The income tax filing charges in Pakistan do not have any set rate. If it is a simple and straightforward salary type of return, it can be a salary income with employer tax deduction, bank withholding and wealth statement return. The filing is fleshed out for a business owner, freelancer, company, AOP, overseas Pakistani or notice case.
A practical way to understand the FBR income tax return filing fee is this:
| Cost type | What it means |
|---|---|
| FBR/IRIS filing process | Online filing through the official IRIS portal |
| Consultant or lawyer fee | Professional charges for preparing and submitting the return |
| Tax, surcharge, or penalty | Amount payable due to liability, ATL surcharge, default surcharge, or late filing |
So, when you’re looking for Income Tax Return Filing Pakistan, you typically have to go beyond the price. They should understand if they are filing as a regular filer or late, if they’ve filed the wrong application, or if it is sensitive in some legal way.
Does FBR Charge a Separate Fee for Filing Income Tax Return?
The official guidance of FBR explains how to file through IRIS, registration, access by the password, completion of return, submission of wealth statement and confirmation. Applies the online filing process not as a ‘form submission fee’.
But there is still a possibility that you have to pay:
- Income tax payable with the return
- ATL surcharge if you filed late and want active filer status
- Default surcharge or penalty where applicable
- Professional fee for tax compliance support
- Legal fee where a notice, audit, appeal, or revision issue exists
FBR Guidance indicates that “Surcharge for ATL” may be paid through PSID and the name of the late filer will be added to ATL only after the due payment of the “Surcharge for ATL” is made.
Expected Income Tax Return Filing Charges in Pakistan
The charges of the professionals are not the official FBR charges. Their reliance is on the effort required, record quality and legal risk.
| Taxpayer type | Expected complexity | What affects professional fee |
|---|---|---|
| Salaried person | Low to medium | Salary certificate, bank tax, refund, wealth statement |
| Freelancer | Medium | Foreign remittances, bank receipts, expenses, withholding tax adjustment |
| Business owner | Medium to high | Sales, purchases, expenses, assets, withholding claims |
| AOP | High | Partner details, accounts, profit share, compliance history |
| Company | High | Accounts, audit, tax computation, notices, withholding statements |
| Overseas Pakistani | Medium to high | Pakistan-source income, property, rent, remittances |
| Late filer | Medium | Return filing, ATL surcharge, PSID, ATL status check |
| Notice case | High | Legal review, evidence, reply, Commissioner Inland Revenue proceedings |
I have seen many times when a taxpayer just wants to know how much it will cost, but the problem is that if they don’t have all of their records. While simple salary returns can get confusing when bank deductible, property purchase or vehicle registration amounts differ from those found on the old wealth statement, the reverse can also be true.
Who Needs to File Income Tax Return in Pakistan?
Salaried persons may file salary tax return in Pakistan to report salary income, request the reduction of tax by the employer, request refund for bank withholding and get included in ATL. A great resource for them here is Pakistan’s Income Tax Return for Salaried Person.
Business owners and sole proprietors might have to file sales, business expense, withholding claims, purchases, assets and loans. Expenses, invoices, bank statements are typically required for freelancers and online earners when it comes to foreign remittance paperwork. In this case, Income Tax Return for Freelancer Pakistan must make clear the foreign receipts and foreign withholding tax adjustment.
The overseas Pakistani and non-residents may have to file his/her tax returns where overseas Pakistan source income, rental income, property, bank profit or local investments are made. There are more formal accounting and compliance requirements for companies and AOPs.
General income tax due dates for FBR, as per general rules are as follows: For individuals and AOPs, the due date for the general income tax is 30 September; For companies, the due date for the general income tax is 31 December; Companies with a special tax year, the due date for general income tax is 30 September subject to lawful extensions.
FBR IRIS Income Tax Return Filing Process (Step-by-Step)
1: Register with Federal Board of Revenue
The first step is to register with FBR IRIS. CNIC, Mobile number, email, address and business particulars (if any). In case of guidance with the NTN registration Pakistan, in that case, a service page can be of assistance to the initial time filers, for instance, the NTN Registration Services in Lahore Pakistan.
2: Login to IRIS portal
Log in with your NTN or registration number/password. Usually codes will be sent to your registered mobile number and email ID when you have any trouble logging into IRIS FBR. It is beneficial to have a detailed FBR IRIS Login Guide in case taxpayers experience login, verification or access to their accounts issue.
3: Select the correct tax year and return form
A tax year is a 12 month period ending on 30th June and is numbered by the calendar year that the 30th June falls in, according to FBR. One of the most frequent errors in preparing FBR tax year return is its incorrect selection.
4: Calculate taxable income
Report income from salaries, business, property, capital gain, bank, foreign income and other income taxable in income tax. Follow the steps to claim deductions and withholding tax deducted at source Pakistan.
5: Submit wealth statement
A return and a wealth statement must be “Completed Task” to be submitted and failure to reconcile the wealth statement will not permit return submission, FBR clarifies.
6: Generate PSID and verify CPR
If tax is due: Generate PSID, pay tax through the banking method allowed, check CPR, confirm that the challan is credited before finally submitting.
Required Documents for Income Tax Return Filing in Pakistan
Retention of CNIC, NTN or registration number, IRIS login information, salary certificate, bank statements, tax deduction certificates, property documents and vehicle documents, rent agreement, investment information, expense estimate, previous year returns and wealth statement for individuals.
Business taxpayers should also ensure that they have sales and purchase records, withholding certificates, bank statements, business registration documents, balance sheet/accounts, and STRN if they are a sales tax registered taxpayer.
Keep passport, documents of income from overseas source, rental records, bank statements in the country, proof of remittances and property details with them for overseas Pakistanis.
Wealth Statement and Asset Reconciliation in IRIS
The purpose of the wealth statement is not a formal one. It includes all your income, expenses, assets, liabilities, cash, bank balance, property, vehicles, loans, gifts and remittances.
Example: If a particular person’s salary income is Rs. 2,400,000 and annual expenses of Rs. 1,500,000. The remaining Rs. If there is a rise in bank balance, cash, investment, assets or a decrease in liabilities, then the amount is generally, 900,000. Should there be discrepancies in the figures, IRIS might cease submission.
One of the mistakes that are made is that the opening wealth is not taken into consideration. In case the wealth statement closing position is not equal to the opening position in this year, it could lead to the delay of filing the wealth statement or questions from FBR later.
Late Filing, ATL Surcharge, and Active Taxpayer Status
Active Taxpayer List (ATL) is the name of the list. It is used to verify the status of a taxpayer and to see if a taxpayer would be considered an active filer.
In the past, FBR has published the amount of surcharge to be paid on ATLs as Rs. 25,000 for individuals, Rs. 50,000 for AOPs, and Rs. 10,000 for companies. Rates and procedures may be subject to change by law or by change on the Portal; please check the most up to date PSID head and amount in IRIS prior to payment.
Common reasons for your income tax return to be filed but not active on ATL could be: Due to late filing without paying the ATL surcharge, you have filed income taxes for the wrong year, the income tax return isn’t complete, the CPR is not reflected in the return, or the timing of weekly updates in ATL. A dedicated page like Income Tax Return Deadline Pakistan can guide the users to avoid the delays in filing the return.
Common IRIS Filing Errors and Solutions
This indicates that users are most likely to face problems with their IRIS login due to incorrect CNIC/NTN number, forgotten password, verification code not received, mobile number not registered with CNIC FBR, email not receiving FBR code, NTN already exists error, or locked accounts. Verify credentials, then, (if necessary) recover taxpayer information via password or update taxpayer information.
For FBR return which are stuck in draft stage, verify incomplete drafting tabs, wealth reconcile, tax computation, CPR verification and completed task status.
If CPR is not appearing in FBR, please verify PSID, Payment Date, Bank Channel & Challan Verification. In some cases synchronization of the portal must be made before the return can be finalized.
How to Revise a Wrongly Filed Income Tax Return
If income has been incorrectly recorded, withholding tax has been missed, a car or property has not been recorded on the income tax return, the balance of the bank has been recorded incorrectly or the wrong wealth statement was filed, a new income tax return may be necessary.
FBR says that a wealth statement can be revised in IRIS prior to the issuance of any notice by FBR under section 122(9) of the Income Tax Ordinance 2001 without applying for a revision of the wealth statement. After the notice is issued, it becomes more important to have a professional review of the legal aspect.
Penalties, Notices, and Legal Risks
Failure to provide the required returns, statements of wealth or statements of reconciliation of wealth is listed in Section 182 of the Income Tax Ordinance as a violation of the Act and subject to penalties.
Common triggers for notices are: property purchase, vehicle registration, undeclared bank accounts, foreign remittances, mismatch between income and assets, mismatch on withholding claim, mismatch on business income and mismatch on unexplained assets.
That’s the area where a filing vs. legal tax representative distinction kicks in. While a Tax Consultant Lahore will be able to help you with routine filing, a Pakistan income tax lawyer will be safer in the event you’re facing FBR notice response, income tax audit notice, an income tax amended assessment, rejected revision, a tax refund dispute, Commissioner Inland Revenue representation, Commissioner Appeals income tax Pakistan, or ATIR tax appeal Pakistan.
Income Tax, Sales Tax, STRN, PRA, SRB, KPRA, and BRA Difference
Income tax return filing is not like Sales tax return filing. All those registered under Sales Tax Act, 1990 or Federal Excise Act, 2005 are obliged to submit sales tax return, FBR says.
Province and/or service type may also require provincial sales tax compliance. PRA IRIS has features like sales tax return, withholding statement, reply to notices, ATL verification and PSID/CPR verification. This may be required for SRB, KPRA and BRA filing as well.
Common Mistakes to Avoid
Please ensure that consultant fee is not confused with FBR fee. If filing, be sure to reconcile the wealth statement. Don’t avoid documents of withholding from employers, banks, telecom, property or vehicles. Please be sure to choose the correct year for the tax period. Never file late – they don’t automatically activate for ATL without considering surcharge requirements. Don’t overlook property, vehicle, and bank records as these are the ones that can pose FBR notice risk.
Need Help Filing Your Income Tax Return Correctly?
Advocate Shahid may help you in filing an income tax return, preparing a wealth statement, registering NTN, supporting the process of activation of your ATL, adjustment of withholding tax, claiming tax refunds, revised income tax return, assisting in FBR notices, representing you in front of the Commissioner Inland Revenue and tax appeal consultation, sales tax/ provincial tax filing.
Our Tax Consultancy Services need to differentiate between the simple return filing and legal tax work for service-intent users. Provide information about your CNIC/NTN, income type, filing year and issue. Advocate Shahid can determine if you must have a simple filing, need assistance with wealth reconciling, require support with the ATL surcharge, or need legal tax help.
FAQs
1. What is the income tax return filing fee in Pakistan?
This will be based on the definition of FBR online filing, professional consultant fees, ATL surcharge, tax payable or penalty.
2. Does FBR charge a fee for filing income tax return?
Filing of returns via FBR’s IRIS is available online. The tax payable, ATL Surcharge and the professional fee are all different.
3. How much does a tax consultant charge for filing income tax return?
There are a number of factors to consider, such as income sources, type of taxpayer, documents, wealth statement, withholding claims, errors, and notices.
4. What is the fee for becoming a filer in Pakistan?
The status of filer typically reflects when you’ve completed the forms and you’ve been added to ATL. If the tax is not filed by the deadline, late filers could be subject to ATL surcharge.
5. Why is my name not active on ATL after filing?
Common issues are late filing without surcharge, portal update time, tax year, incomplete filing and CPR not reflected.
6. Is wealth statement mandatory?
The wealth statement is a key element of IRIS filing for many individual filings. If not, the submission may not be successful.
7. Can I revise my income tax return?
It is possible to revise in some cases depending on the problem and the stage of the law. The revision of the wealth statement is simpler in advance of some notices.
8. When should I hire a tax lawyer?
Engage a Tax Lawyer for FBR notice, unexplained assets, incorrect filing, audits, refund applications, appeals and FBR Commissioner Inland Revenue proceedings.
Conclusion
Income Tax Return Filing Fee in Pakistan isn’t the only cost associated with it. This encompasses your income type, your IRIS status, the accuracy of your wealth statement, the tax that you are liable to pay, claims for withholding, ATL surcharge and any potential legal liability. Returning a simple return may be a simple process, but care must be taken with a late, wrong or notice return before it gets more expensive.
