Sunday, October 2, 2016

Your tax Calendar for annual return for tax year 2016

1.    Last date for filing of annual income tax return:
a.    For salaried persons the last date is 30.08.2016 as per Income Tax Act 2001.
b.    For individuals (other than salaried persons) and Association of persons (AOPS) the last date is 30.09.2016
c.    For companies having closing date of accounts as a Calendar year (ending on 31st of December) the last date is 30.09.2016.
d.    Most of the companies having closing date of accounts as financial year (ending on 30th day of June) the last date of filing of annual income tax return is 31st December 2016.
All the salaried persons, AOPs corporate cases and other individuals having business, rental income above Rs.500,000 have to submit their return by using online system of FBR. No manual return of such persons shall be admissible.
It is important to mention here that in the immediately preceding tax year i.e. tax year 2015 the last date for filing of income tax return was extended many a times and till the end of April 2016 the taxpayers were at liberty to file income tax returns without penalty.
The Commissioner Inland Revenue has the powers to give extension up to 15 days on the specific request and under special circumstances.
The IRIS system introduced by FBR for filing of return suffered many technical problems and extreme link problem which made it very difficult for the taxpayers to submit the returns and pay their taxes.
The FBR is requested ensure that this year the system of Efiling tax returns for tax year 2016 (2015-2016) would function smoothly enabling the taxpayers to efile their tax returns amicably without any difficulty/problem.
How to revise the tax return
You can revise the return within two months after filing the original return without seeking any approval/permission. After lapse of two months you have to apply before the Commissioner Inland Revenue to revise the return.
What if the tax return is not submitted within due time
Where no tax is payable a penalty of Rs.20,000
Where some tax is payable the minimum penalty is 0.1% of tax payable or Rs.25,000 whichever is higher.
Calendar for Sales Tax Returns
1.    The last date for e-filing of sales tax return and Annexures is as under:
2.    For e-filing Annexure-C the last date of efiling is 10th day of each month. This is to facilitate the taxpayers to claim input tax correctly and to avoid any entry of incorrect data. This is very positive development on the part of FBR to facilitate the taxpayers.
3.    The taxpayers should pay their sales tax due by 15th of day month.
4.    The taxpayers can e-file their returns by 18th of each month.
In  case of non-submission of return by the due date a fine of Rs.100 for each day of default and after default of 15 days, a penalty of Rs.5,000 shall be charged. Penalty for non-payment of sales tax by the due date is Rs.500 for each day of default and if default continues for more than 10 days the penalty shall be Rs.10,000 or 5% of the tax payable but not paid, whichever is earlier.
Calendar for e-filing of withholding statements
After person registered with sales tax, an AOP or a company is bound to submit withholding income tax return on monthly basis. The last date for filing of withholding statement u/s 165 of the Income Tax Ordinance 2001. The penalty for late filing of withholding statement is a penalty of Rs. 2500 for each day of default subject to a minimum penalty of  ten thousand rupees.
How to submit monthly sales tax return in Pakistan with e.fbr.
In Pakistan the method of filing of sales tax returns is different for the persons engaged in the following categories of businesses:
1.    Retail/whole sale
2.    Manufacturer
3.    Importer
4.    Exporter
5.    Persons engaged in zero rated sectors e.g. manufacturer of footwear, textile products, sports goods.