Simplifying Tax Compliance with Expert Guidance

Overview

Filing income tax returns is a legal obligation for individuals and entities in Pakistan who earn income above the specified thresholds. An income tax return is a formal declaration to the Federal Board of Revenue (FBR) detailing your income, tax liabilities, and eligibility for refunds or credits. Whether you are a salaried individual, a business owner, or a non-resident with Pakistani-sourced income, timely and accurate filing is critical for compliance, financial planning, and securing your legal status as a taxpayer.

OmniCerta offers comprehensive support for income tax registration, return filing, refunds, reconciliation and appeals to ensure full compliance under the Income Tax Ordinance, 2001.

Why Timely Filing Matters

Filing your return on time has many legal and financial benefits:

• Avoid penalties, surcharges, and prosecution.
• Maintain your name on the Active Taxpayer List (ATL) for reduced withholding taxes and financial benefits.
• Claim tax credits, deductions, and refunds effectively.
• Carry forward business losses (not allowed for late filers).

What Is Taxable Income?

Before filing, it’s essential to understand how your income is classified. Under the Income Tax Ordinance, 2001, taxable income includes all chargeable income under the five heads:

1. Salary
2. Income from Property
3. Business or Profession
4. Capital Gains
5. Income from Other Sources

Total Income is your combined income under all applicable heads, minus allowable deductions and exemptions.

Who Needs to File?

You’re required to file an income tax return if you:

• Are an individual with taxable income above the threshold.
• Are a company or association of persons (AOP).
• Earn income from multiple sources (e.g., salary and rental).
• Want to be part of the Active Taxpayer List (ATL).
• Are a non-resident with income sourced from Pakistan, as defined under section 101 of the Income Tax Ordinance, 2001.

Income Tax Registration with FBR

To file a return, registration with FBR is mandatory. OmniCerta can assist with both online and in-person registrations, including:

• Individuals: Online registration via Iris portal using CNIC.
• Companies/AOPs: Physical registration at the Regional Tax Office (RTO) with corporate documents.

OmniCerta will guide you through preparing all required documents, such as tenancy agreements, utility bills, and partnership deeds.

Filing Your Tax Return

Step-by-Step Support by OmniCerta:

1. Assessment: We identify the correct tax year and applicable income heads.
2. Preparation: Gather income, deductions, and expense documents.
3. IRIS Portal Filing: We prepare and submit:
   • Income Tax Return
   • Wealth Statement
4. Verification & Submission: Ensure reconciliation and compliance.
5. Tax Payment: Generate and assist with Payment Slips (PSIDs).
6. Refund Claims: Apply for overpaid tax refunds, if applicable.

Additional Services:

• Late Return Filing and ATL surcharge assistance
• Tax year revision and return amendments (up to 5 years)
• Digital record keeping (mandatory for 6 years)
• PIN & Password Recovery for IRIS portal

Salaried Individuals: Form 114(I)

Salaried persons earning over 50% of their income through employment can use simplified Declaration Form 114(I). OmniCerta ensures accurate computation of your tax credits, allowances, and declarations.

Income Tax Refunds

We assist in filing refund applications through Iris and track claim statuses with RTOs. Refunds must be claimed within 2 years from the return date or tax payment date.

Appeals

If you disagree with an income tax assessment, penalty, or surcharge imposed by the Inland Revenue Department, you have a legal right to appeal. The appeal process begins with filing before the Commissioner (Appeals) and can be further escalated to the Appellate Tribunal and higher courts if necessary. However, the law requires that you file the appeal within 30 days of receiving the notice of demand, and that the tax due on the declared income is paid before the appeal is lodged.

OmniCerta provides expert assistance in preparing and filing income tax appeals, ensuring full compliance with procedural requirements and deadlines. Whether you’re an individual, a company, or a legal representative, our team helps draft appeal documents, assess the strength of your case, and represent your interests before tax authorities. We aim to protect your rights and resolve tax disputes efficiently and professionally.

Changes in your Personal Information

OmniCerta assists clients in updating their registration information with the FBR through the IRIS portal by filing Registration Form 181 for modification. Whether it’s a change in mobile number, residential or business address, addition of business branches, legal representative (under Section 87 of the Income Tax Ordinance, 2001), bank account details, or business status, OmniCerta ensures your information is accurately and efficiently updated.

For changes that require in-person verification—such as business discontinuation, jurisdiction for income tax assessment, deregistration, CNIC, email address, or Pakistan Origin Card (POC)—OmniCerta provides full guidance and support in preparing the necessary documents and liaising with your relevant Regional Tax Office (RTO) to complete the process smoothly.

Special Services for Non-Residents & Companies

Whether you operate through a permanent establishment or are a foreign entity investing in Pakistan, OmniCerta ensures that you:

• Meet your income source declaration under Section 101 of the Ordinance
• Register and file with correct business activity and branch data
• Receive compliant tax residency certificates where needed

Due Dates for Filing

Entity Type	Due Date
Individuals & Assocition of Person (AOP)	On or before 30th September
Companies (normal)	On or before 31st December
Companies (having special Tax Year)	On or before 30th September

Note: Delays may result in penalties, interest, and ATL exclusion.

Why Choose OmniCerta?

OmniCerta offers expert knowledge of FBR systems and regulatory requirements, ensuring your tax matters are handled with precision and professionalism. From registration to audits and appeals, we provide end-to-end support tailored to your unique needs. Our approach prioritises compliance assurance, helping you avoid penalties while maximising tax efficiency. Whether you’re an individual, a sole proprietor, or a corporate entity, OmniCerta delivers personalised tax guidance you can trust.

Don’t leave your tax obligations to the last minute. Let OmniCerta manage your income tax return process seamlessly and ensure that you stay compliant, confident, and in control.

FAQs