Nod from IR Commissioner not needed: Tax returns can be revised within 60 days: FBR

ISLAMABAD: The Federal Board of Revenue (FBR) has clarified that the FBR system is allowing taxpayers to revise their income tax returns for Tax Year 2023 within 60 days without any approval from the Commissioner Inland Revenue.

In a letter addressed to the FBR, the Karachi Tax Bar Association (KTBA) has raised certain issues which either are not related to the return filing for tax year 2023 or these have already been resolved. Point-wise response to the issues raised by the KTBA has been given by the FBR.

The KTBA raised the issue of failure to allow return revisions. The FBR responded that the IT return for 2023 filers can revise their return within 60 days without any approval from commissioner and the system is allowing this, it added.

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The KTBA has asked the FBR about the non-availability of data U/s116A (inner columns). The FBR responded that the section 116A is being filed without any issue. Specific cases with details may be shared with FBR if it is hindering to file the tax return for 2023.

The KTBA raised the issue that the salary income with one-off service receipt, IRIS is asking to file profit and loss account, balance sheet and attachment of accounts. The FBR was of the view that a separate salary return is available. Person having salary income as well as income from business u/s 153 (minimum tax) requires to attach the PL account. This is required as per law.

In the SME return, there is no tab to show tax deducted under section 153 or other sections, the association said. The FBR responded that the SME return is developed as per notified form and the reported matter is not a system issue.

In case of death of an individual, the last return of the deceased taxpayer is required to be filed by the legal heirs; hence in the verification tab name and CNIC of the legal heir should be allowed to put-in, as the deceased person cannot verify the return. But the electronic return automatically picks the name, the KTBA suggested.

The FBR responded that, not a issue, but it is a suggestion. As we have another process for marking the taxpayer as deceased taxpayer.

In case of association of persons (AOPs) in members tab, the position/status of the member is appearing as director instead of partner or member, which is factually incorrect. The FBR has already resolved the issue, the FBR added.

The KTBA raised the issue that, “In Final/Fixed/ Minimum TAB – Dividend under section 150 is showing at “0%” and “35%” which is not in accordance in law”.

The FBR responded that it is not a technical issue, but the matter is being further looked into.

Copyright Business Recorder, 2023