ISLAMABAD: The Federal Board of Revenue (FBR) has warned taxpayers of heavy penalties for incorrect filing of their income tax returns.
Sources said heavy penalties could be imposed for concaling assets, providing inaccurate information or tampering with financial records.
They added that comprehensive data on properties and assets owned by individuals across the country had been collected. The FBR will reportedly use an automated system to compare information declared in income tax returns with its existing database.
Artificial intelligence will also be used extensively to identify discrepancies and verify the information provided by taxpayers, sources said.
Taxpayers have been advised to seek assistance from qualified and experienced professionals when preparing their returns to avoid errors and potential penalties.
According to sources, taxpayers can correct mistakes in their returns before October 15.
They further warned that various provisions of the Income Tax Ordinance allow the authorities to impose substantial fines on defaulters.
Salaried individuals who submit incorrect tax returns could face penalties amounting to 75 per cent of their salary, sources claimed.
Failure to pay a penalty within the prescribed time could result in an additional fine of Rs1,000 per day, they added.
Taxpayers have therefore been urged to ensure that their returns are accurate, complete and consistent with their declared assets and financial records.
On October 1, the Federal Board of Revenue (FBR) extended the deadline for filing income tax returns for Tax Year 2026 by 15 days to October 15, 2026.
According to a circular issued by the FBR, the deadline was extended in view of requests received from various trade bodies and tax bar associations.
