ISLAMABAD: Federal Board of Revenue (FBR) may extend the last date for filing income returns tax year 2017 considering difficulties faced by taxpayers due to slowdown in IRIS system.
According to sources the FBR already received above 0.8 million tax returns till November 14, which is much higher considering previous tax years’ returns filed on last date.
However, it lower than the returns filed for tax year 2016, which has reached to 1.32 million as per latest Active Taxpayers List.
According Section 114 of Income Tax Ordinance, the following persons are required to furnish a return of income for a tax year, namely:
(a) every company;
(ab) every person (other than a company) whose taxable income for the year exceeds the maximum amount that is not chargeable to tax under this Ordinance for the year; or
(ac) any non-profit organization as defined in clause (36) of section 2;
(ad) any welfare institution approved under clause (58) of Part I of the Second Schedule;
(b) any person not covered by clause (a), (ab), (ac) or (ad) who,—
(i) has been charged to tax in respect of any of the two preceding tax years;
(ii) claims a loss carried forward under this Ordinance for a tax year;
(iii) owns immovable property with a land area of two hundred and fifty square yards or more or owns any flat located in areas falling within the municipal limits existing immediately before the commencement of Local Government laws in the provinces; or areas in a Cantonment; or the Islamabad Capital Territory;
(iv) owns immoveable property with a land area of five hundred square yards or more located in a rating area;
(v) owns a flat having covered area of two thousand square feet or more located in a rating area;
(vi) owns a motor vehicle having engine capacity above 1000 CC;
(vii) has obtained National Tax Number; or
(viii) is the holder of commercial or industrial connection of connection of electricity where the amount of annual bill exceeds rupees five hundred thousand; or
(ix) is a resident person registered with any chamber of commerce and industry or any trade or business association or any market committee or any professional body including Pakistan Engineering Council, Pakistan Medical and Dental Council, Pakistan Bar Council or any Provincial Bar Council, Institute of Chartered Accountants of Pakistan or Institute of Cost and Management Accountants of Pakistan.
(1A) Every individual whose income under the head Income from business exceeds rupees three hundred thousand but does not exceed rupees four hundred thousand in a tax year is also required to furnish return of income income from the tax year.
