Income Tax Filing

A GUIDE TO HELP YOU BECOME A TAX FILER IN KARACHI PAKISTAN.

You must have heard in the news about taxes. There are times when taxes are compared to GDP, while on some other occasions, you come across tax filing discussions. All citizens of Pakistan need to file their income taxes.

What does Tax mean, and why is filing it emphasised so much?

The government imposes a specific amount of money on its citizens. The payment to be made by every citizen is according to the level of income. Moreover, capital gains are also liable to Tax.

The government then uses these taxes to improve the country’s living conditions. The more revenue generated, the more swiftly public projects will take place. It also helps ensure a good distribution of wealth to help overcome poverty and inequality. Taxes also improve a country’s Gross Domestic Product (GDP).

How Can You File Income Tax In Pakistan?

In Pakistan, anyone who earns above RS. 600.00/ becomes eligible for becoming a tax filer. This guide brings you all the necessary information you need to become a tax filer which has become more convenient due to digitalization.

Below are the documents you require to begin your online application process:

1-FBR USER-ID

2-FBR USER PASSWORD

3- SOURCE OF INCOME OR INCOME STATEMENT

4-ANY ADDITIONAL SOURCE OF INCOME

5-WEALTH STATEMENT

6-NATIONAL TAX NUMBER

How can you get a National Tax Number?

Before becoming a filer, you require a National Tax Number (NTN) from FBR. To get it, you must go to the link below.

https://iris.fbr.gov.pk/public/txplogin.xhtml.

Federal-board-of-revenue

A web page will open. You need to press on the “REGISTRATION FOR UNREGISTERED PERSONS.”

This will lead you to a form you must fill out using personal details like CNIC, phone number, address, etc. after submitting your form; you will get a confirmation code on your phone number or in your email. Just enter it and begin your tax filing procedure.

Log into your account at FBR and make a wealth statement for your Income tax returns. Congratulations! You are now on the FBR’s Active Tax List (ATL).

FAQs

Q1- What benefits do I get from becoming a Tax Filer?

All ATL members can benefit from a reduced level of Vehicle Token Tax, immovable property tax, and other perks. Moreover, the ATL is updated weekly which can be checked easily. It is feasible for you to check your name in the list to verify your membership in the ATL.

Q2- What do tax filers and non-tax filers mean?

A tax filer is registered with the Federal Board of Revenue. He has filed his income tax returns already with them. However, a non-filer is someone who still needs to file his income tax returns with FBR.

Q3- Is Evading Tax a Crime?

Evading taxes or hiding your income is a punishable act. It is a crime under the Pakistan Penal Code.It is also a moral and national obligation to pay taxes to benefit the nation.