How can I file a tax return if I have income from both salary and freelance work in Pakistan?

Question

I have a full-time job but I also earn money from freelance projects. How should I file my tax return in IRIS so that both salary income and freelance income are declared properly to FBR?

Answer 1

You should declare your salary income under the “Salary” section in IRIS and report your freelance earnings (local) under “Income from Other Sources” (or “Business Income” if it’s regular work).

In case of export of services, the freelance income will go into Final.

After entering both incomes, IRIS will calculate your total tax liability. If the tax deducted by your employer does not cover the total due (including tax on freelance income), you will need to pay the remaining amount via PSID (Payment Slip ID) before submitting your return.

Comments

If salary income is less than 75% and freelance income is higher so the tax deduction under section 154 will be adjusted or it will be final tax ? what will be the treatment in this case ? please guide

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154 is something different to the above. The tax deducted under section 154 is final and these income won't be clubbed. The above answer was purely based on local freelance income.