ISLAMABAD: Holding out an olive branch to the new taxpayers under Prime Minister’s Incentive Scheme, the Federal Board of Revenue allowed new taxpayers to file income tax returns manually in case of Income Tax Return Form IT-6 for Tax Years 2008-12 under SRO 1065(I)/2013.
To facilitate the new taxpayers, the FBR has defined different modes for submission of returns/statements including electronic filing at e-FBR portal (https://e.fbr.gov.pk ) and paper return submission at Taxpayer Facilitation Counter in Regional Tax Office concerned while paper return form can be downloaded from FBR website. The FBR pointed out that filing of returns electronically was mandatory for all AoPs, sales tax registered persons, refund claimants and salaried persons having annual income of Rs 500,000 or more.
It has also issued guidelines for intended new taxpayers for filing income tax returns.
As per the SRO, immunity from penalties, default surcharge and audit would be available to an individual, holding an NTN who files a return, as specified in Form “A” (IT-6) by February 28, 2014, of the tax years from 2008 to 2012, for which returns have not been filed. Provided that for each of the tax year, a minimum tax of Rs20,000 on the basis of taxable income is paid by the taxpayer. The taxpayer shall not be entitled to claim any adjustment of withholding tax collected or deducted under the Income Tax Ordinance. The due date for filing return for tax year 2013, in respect of individuals availing concessions under this clause, is February 28, 2014.
For the business individuals, the FBR has notified that the rate of tax as specified in column (3), against serial no 2 in clause (1), in Division I of the Part I of First Schedule of the Income Tax Ordinance, will be reduced to 5 percent, for taxable income declared in the return for tax year 2012, filed under clause (87) or (88) of the Part IV of this Schedule i. e where the taxable income exceeds Rs350,000 and does not exceed Rs500,000, the rate of tax will be 5 percent instead of 7.5 percent for Tax Year 2012.
It has also been pointed out that if salary income is more than business income then salary rates will be applied. In case a taxpayer has already submitted his return for a particular year, then IT-6 will not be available to him for that year. The FBR said that if a taxpayer has already submitted his IT-6 Return even then he can submit his IT-2 Return for that particular year, i e, the facility of submission of IT-2 will be available after submission of IT-6, but the option to submit IT-6 after submission of IT-2 will not be available.
