Penalties of non-filing of tax returns

Amendment in Section 182 of the Ordinance

Penalties of non-filing of Tax Returns: A new penal regime for non-filing of income tax return has been introduced through amendment in section 182 of the Ordinance. A person who fails to file return within due date will have to pay a penalty of higher of Rs.1000/- or 0.1% of tax payable for each day of default.

However, the minimum penalty shall be Rs. 10,000/- in case of individuals having 75% or more income from salary and Rs. 50,000/- in other case and the maximum penalty shall not exceed 200% of tax payable by the person.

Furthermore, above mentioned penalties shall also be reduced by 75%, 50% and 25% in case return is filed by the person within one, two or three months respectively after the due date. General penalty for contravening any provisions of the ordinance has been omitted.

For more information on FBR’s new regulations / circulars/ SROs/ amendments in taxation laws in Pakistan please visit https://www.fbr.gov.pk/

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