Non Filers will Seize to Enjoy Filer Status in March 2023

The Federal Board of Revenue in Pakistan updates the Active Taxpayer List at the end of February for the preceding filing year. Those who fail to submit their tax return on time still enjoy the benefits of being a filer until the end of February each year. However, for the tax year 2022, individuals and Association of Persons who do not file their returns will be excluded from the Active Taxpayer List. In addition to fines and penalties, inactive taxpayers are also subject to higher rates of withholding taxes. The surcharge for reappearing on the ATL varies for individuals, Association of Persons, and companies. Stay tax compliant and avoid penalties by updating your Active Taxpayer status before the deadline.

The Federal Board of Revenue in Pakistan has announced that taxpayers who fail to file their tax returns by the due date will not be included in the Active Taxpayer List (ATL) for the tax year 2022. The ATL is updated at the end of February each year, and those who fail to submit their tax returns on time can still enjoy the benefits of being a filer until the end of February.

However, individuals and Association of Persons who do not file their returns by the deadline will be excluded from the ATL for the tax year 2022. In addition to fines and penalties, inactive taxpayers are also subject to higher rates of withholding taxes. To reappear on the ATL, individuals will have to pay a surcharge of Rs. 1,000, while Association of Persons will have to pay a surcharge of Rs. 10,000 and companies will have to pay a surcharge of Rs. 20,000.

It is important for taxpayers in Pakistan to stay tax compliant and update their Active Taxpayer status before the deadline to avoid penalties and surcharges.

Zoya Zafar
Zoya Zafar
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