FBR conditions benefits with electronic returns filing

KARACHI: The Federal Board of Revenue (FBR) on Friday asked the taxpayers to re-file their returns electronically to be enlisted in the active taxpayers list (ATL) and avail various benefits accordingly.
Raana Ahmed, Member IT at the FBR, told The News that there were complaints that the names of taxpayers, who had filed their tax returns for the year 2014, didn’t appear in the ATL.
“On scrutiny, it was discovered that the taxpayers had filed returns manually, thus their names were not on the ATL,” Ahmed said. “They need to file their return afresh to get their names listed in the ATL.”
Under the present tax regime, only active taxpayers are allowed to import and export and serve as consultant, adviser or clearing/shipping agent. Sales tax input credit/adjustment is allowed, only if purchases are made from active taxpayers. Likewise, expenses for income tax are admissible if purchases are made from active taxpayers. Active taxpayers can participate in the procurement tenders.
The FBR directed the chief commissioners of large taxpayers units and regional tax offices to instruct all taxpayers to file returns electronically.
It also asked the presidents of tax bar associations to e-file returns of their clients, falling under certain categories.
The FBR, in a letter to tax bars, said a large number of tax practitioners have manually filed the returns of their clients.
“Therefore, the names of their clients are not included in ATL…(they) had deprived their clients from getting the benefits of inclusion in the ATL,” it said.
The Member IT informed that as per the provisions of Income Tax Ordinance, 2001 and Income Tax Rules, 2002, the certain classes of taxpayers are liable to file their returns of income electronically.
These include taxpayers drawing salary income of Rs500,000 or more for a tax year; those falling under the definition of company; nonresident ship owner, aircraft owner and charterer; persons registered

for sales tax; associate of persons; and non-corporate entities claiming tax refunds.