PCDMA for extension of income tax return filing deadline

KARACH: In a sharp critique of the Federal Board of Revenue (FBR), Salim Valimuhammad, Chairman of the Pakistan Chemical & Dyes Merchants Association (PCDMA), has demanded an urgent extension of the income tax return filing deadline beyond September 30, following abrupt and sweeping changes to the filing process.

Valimuhammad expressed deep concern over the last-minute amendments made to the Income Tax Return and Wealth Statement forms for Tax Year 2025–26. These include mandatory disclosure of all properties at their Estimated Current Market Value (ECMV) and listing of each asset individually.

Calling the move ill-timed and unplanned, he said: “These changes were introduced without prior consultation or technical preparedness. Expecting taxpayers to comply on such short notice is unrealistic. This is causing serious disruption, especially for small & medium business owners.”

He added that the FBR’s updated online system—rolled out just days before the deadline—is plagued with technical glitches and repeated crashes, making it extremely difficult for users to file returns.

Taxpayers who already submitted returns under the old format are now being asked to re-declare assets as per the new rules, creating confusion and stress. “There is no clarity on how amendments will be managed. This is leading to mass uncertainty,” Valimuhammad said.

He also highlighted that many regions face poor internet access, and the fast pace of regulatory change is overwhelming taxpayers. “Most people want to comply, but the system and timing are working against them.”

The PCDMA has formally appealed to the Ministry of Finance and the Prime Minister’s Office to extend the filing deadline to November 30, 2025, giving taxpayers and consultants time to understand and adjust.

Valimuhammad concluded by urging the FBR to adopt predictable, long-term tax policies. “Major reforms like market valuation should follow a 5 to 10-year roadmap. Sudden changes only fuel chaos and non-compliance.”

Copyright Business Recorder, 2025