Revised wealth statements: KTBA urges FBR to modify its IRIS

KARACHI: Karachi Tax Bar Association (KTBA) has requested the Federal Board of Revenue (FBR) to modify its IRIS to accept revised wealth statements in cases where tax proceedings have been concluded without amendments or notices have been withdrawn.

In a letter addressed to FBR Chairman, KTBA highlighted a procedural gap between tax law provisions and the IRIS system’s current functionality.

According to Section 116(3) of the Income Tax Ordinance 2001, taxpayers who have submitted a wealth statement may file a revised statement to correct omissions or misstatements at any time before receiving a notice under Section 122(9). While IRIS currently accommodates this provision, the system creates obstacles in specific scenarios.

The tax bar said that difficulties emerge when amendment proceedings initiated under Section 122 are concluded without any amendment order, or when notices are withdrawn without adverse findings. In such cases, even though no Section 122(9) notice remains operative, IRIS continues blocking revised wealth statement submissions.

“We are of the view that where the proceedings have been concluded without an amendment order or the notice has been withdrawn, there remains no legal impediment to a taxpayer to revise the wealth statement,” the letter stated.

KTBA also argued that treating cases involving withdrawn notices or closed proceedings similarly would align with legislative intent and enable taxpayers to make genuine corrections and factual adjustments.

The association proposed that IRIS should be reconfigured to accept revised wealth statements in all instances where no Section 122(9) notice is effectively operative, including situations involving withdrawn notices or proceedings concluded without amendment orders.

Copyright Business Recorder, 2025