The Pakistan Tax Bar Association (PTBA) is calling on the Finance Minister, Muhammad Aurangzeb, to expedite the release of draft tax return forms for the 2024 tax year. This move aims to streamline the tax filing process for taxpayers.
Timely Release as per Regulations
The PTBA emphasizes the need to follow the Income Tax Rules, 2002. Rule 34A mandates that draft return forms be available by December 31st of the preceding year. However, past delays have caused complications for taxpayers meeting filing deadlines as outlined in the Income Tax Ordinance, 2001 (Section 118).
PTBA’s Recommendations
The PTBA highlights the FBR’s history of missing deadlines for releasing draft forms. They argue that since the 2024 format likely mirrors the 2023 format with minor adjustments from the Finance Act 2023, the FBR should prioritize releasing updated forms with minimal modifications.
PTBA Proposed Timeline
To avoid hindering the 2024 tax filing process, the PTBA proposes that draft forms be uploaded to the FBR’s portal by May 20th, 2024. This timeframe would grant taxpayers sufficient time to prepare and submit their returns while allowing for essential verification of calculations within the forms.
Additional Request: Excel Version for Convenience
The PTBA also recommends providing an Excel version of the draft forms alongside the standard format. This would empower taxpayers to verify the accuracy of their return calculations, promoting transparency and simplifying the filing process.
PTBA’s Proactive Approach
The PTBA’s initiative stems from past challenges faced by taxpayers due to delayed releases of draft tax forms. By establishing a clear and met deadline, the PTBA believes the FBR can significantly improve taxpayer compliance and satisfaction.
Importance of Timely Updates
Stakeholders including tax professionals and businesses eagerly await the Finance Ministry’s response. Timely updates from the government are seen as crucial for fostering trust and confidence in Pakistan’s fiscal policies and ensuring a smooth tax administration process.
