ISLAMABAD: Extending the deadline for the entry of taxpayers’ accounts to June 30, the Federal Board of Revenue (FBR) on Friday advised non-compliant taxpayers that their names will be removed from the Active Taxpayers List (ATL) as well as connected re-inclusion with the settlement of a surcharge.
Under Section 114 A of the Earnings Tax Obligation Statute 2001, the target date for on the internet submission or upgrading of taxpayers’ accounts was Dec 31, 2020. Nonetheless, the FBR expanded the due date for a duration of three months to March 31, 2021 and has actually currently given an added three months to taxpayers for providing their information.
The federal government eliminated 509,039 late return filers for the tax obligation year 2020 from the ATL as a charge.
A profile is an item of fundamental information about a taxpayer. Very frequently people do not upgrade their profiles when they change their address or checking account. The incumbent federal government made it mandatory in 2015 for all taxpayers to upgrade their accounts.
Taxpayers on the ATL listing can obtain the benefit of reduced tax obligation rates.
Talking with Dawn, FBR Speaker Nadeem Rizvi said that an upgraded profile is important to send the refund amount directly to the taxpayer’s bank accounts and also the IBAN is needed for that. He claimed re-inclusion of taxpayers in the ATL will undergo repayment of fine.
Mr Rizvi clarified that taxpayers will certainly have to share details consisting of cell number, e-mail address, service addresses, energy usage details, savings account with IBAN, etc. This is among the actions for the paperwork of economy, he added.
The taxpayer’s account need to additionally contain details relevant to company facilities, consisting of all production, storage space or retail electrical outlets operated or rented by the taxpayer, sorts of organizations and various other such information. Duplicates of utility bills, papers on property/home ownership as well as tenant contract should be submitted with the account.
The FBR will punish non-compliant taxpayers in 2 ways– settlement of charge each day as well as an extra surcharge for inclusion in the ATL list.
In addition to exemption from the ATL, the FBR said that under Section 182 of the Revenue Tax Obligation Statute, a penalty of Rs2,500 for each and every day default for non-filing of account or otherwise upgrading profile subject to a minimum penalty of Rs10,000 would certainly be imposed. The penalty is same for all sort of taxpayers.
For re-inclusion in the ATL listing, taxpayers will certainly need to file an account or update the existing one and pay the additional charge. Upon filing or upgrading the account, the amount of ATL additional charge for firms is Rs20,000, Association of Folks Rs10,000 and for individuals (salaried and also non-salaried) Rs1,000 for returning on the ATL listing.
The FBR encourages taxpayers to pay the respective quantity of ATL surcharge and take advantages of the active checklist, the agent worried.