All persons who have been registered with the FBR (Federal Board of Revenue) as a Filer before or after March 1, 2024 and have filed their tax returns for the tax year 2023 are considered to be as a late filer? In that case, you should take crucial note of an important change in FBR. FBR has introduced new category of “Late Filer” which is considered to be a 3rd category likewise Filer and Non-Filer.
A new rule has been implemented by FBR that marks persons who registered on or after this date will be consider as “Late Filers”. This amendment has a lot of implications for your position in the FBR online verification system, and also affects greatly your filing category, planning of finances, paying taxes on time, on tax adjustment and most importantly on your filing status.
To avoid the Late Filer status and corresponding penalties, you must file your 2024 annual income tax return on or before September 30, 2024. This ensures that your Filer Status will be reinstated in March 2025. Your Filer status must be maintained because there are many advantages associated with it such as low withholding tax rates on banking transactions, property sale & purchase and other financial dealings.
Why Would You Want to File Taxes In Time?
1. Avoid Sim Blockages: Prevent sim service interruptions by ensuring timely tax filing.
2. Financial Benefits: By being a filer one gets reduced rates of taxation applicable to different transaction types leading to substantial savings over time.
3. Ensure Uninterrupted Utilities: Timely filing helps you to avoid all types of disconnection of essential utilities services like gas, water and electricity.
4. Compliance & Penalties: When taxes are not filed on the due date; hence resulting high penalties & tax duty rates which could have been avoided through timely submissions instead.
5. Reputation & Credibility: Being compliant tax payer enhances trustworthiness among finance institutions hence beneficial for loaning funds or other banking services.
6. Reduce Your Property Tax Rates: Timely filing can lead to significant savings on property taxes once you fall in active filer category.
Steps to Ensure Timely Filing:
- Organize Your Documents: Gather all necessary financial and relevant documents, including bank statements, expense receipts, and investment details.
- Consult Professional Consultants: Engage a tax consultant or professional lawyer that ensure your return is accurate and filed on time.
- Use FBR’s Online Portal: Familiarize yourself with the FBR online portal (IRIS) to submit your return efficiently.
By following these guidelines, you can avoid the drawbacks of being a “Late Filer” status and enjoy the benefits of maintaining a compliant active taxpayer status. Stay proactive and file on time before 30th September 2024. So, Secure Your Financial Future by Filing Taxes on Time!
