If you have filed your income tax return for tax year 2025, understanding how the Federal Board of Revenue (FBR) assesses your declaration is crucial. Many taxpayers believe filing a return ends their responsibility—but under Pakistan’s tax law, filing is only the beginning of the assessment process.
(more…)Author: Shahnawaz Akhter
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Who is required to file a foreign income and assets statement in Pakistan?
If you are a resident taxpayer in Pakistan with overseas income or assets, filing a foreign income and assets statement is not optional—it is a legal obligation under the Income Tax Ordinance, 2001. Failure to comply can trigger enforcement action by the Federal Board of Revenue (FBR), especially from tax year 2026 onward.
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Your wealth statement must contain these details to avoid FBR action
Filing an accurate wealth statement is not just a formality—it is a legal requirement that can protect you from scrutiny, penalties, and enforcement action by the Federal Board of Revenue (FBR). Under the Income Tax Ordinance, 2001, the FBR has clearly defined what a valid wealth statement must include for each tax year.
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Business community demands waiver of demurrage, detention charges after strike
Karachi, December 18, 2025 – The business community of Karachi has urged the federal government to waive demurrage and detention charges accrued during the recent nationwide goods transporters’ strike that lasted from December 8 to 17, 2025. The strike brought cargo movement at Karachi Port, Port Qasim, and associated terminals to a near-complete halt, leaving import and export consignments stranded and imposing heavy financial burdens on traders and industrialists.
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Pakistan sees 25% drop in foreign direct investment in 5MFY26
Karachi, December 18, 2025 – Pakistan has reported a significant 25% decline in foreign direct investment (FDI) during the first five months of fiscal year 2025-26, according to the State Bank of Pakistan (SBP).
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Are you a 2025 tax year non-filer? You may face these restrictions
If you did not file your tax return for 2025, you could face serious restrictions from the Federal Board of Revenue (FBR). The Income Tax Ordinance, 2001 empowers the FBR under Section 114C to limit economic transactions of non-filers, ensuring compliance and discouraging tax evasion.
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FBR powers to compel 2025 tax return filing in Pakistan
The Federal Board of Revenue (FBR) has significant authority to ensure compliance with tax filing obligations in Pakistan. With tax year 2025 filing mostly concluded, except for corporate returns due on December 31, 2025, it is important for taxpayers to understand what actions the FBR can take if returns are not filed on time.
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Understanding alternative corporate tax in Pakistan for tax year 2026
Corporate taxation in Pakistan can be complex, and businesses need to stay informed to comply effectively. One important provision that companies should be aware of for tax year 2026 is the Alternative Corporate Tax (ACT), governed under Section 113C of the Income Tax Ordinance, 2001.
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Pakistan’s current account deficit widens $812 million; surplus of $100 million in November
Karachi, December 17, 2025: The State Bank of Pakistan (SBP) reported on Wednesday that the country’s current account deficit widened to $812 million during the first five months (July–November) of the fiscal year 2025-26, compared to a surplus of $503 million in the same period last year.
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Where will minimum tax apply in Pakistan for tax year 2026? What you should know
As Pakistan enters Tax Year 2026, businesses and high-turnover individuals must once again evaluate whether minimum tax under Section 113 applies to them. Even if your business reports losses or enjoys exemptions, minimum tax may still be payable. Here’s a simple, interactive breakdown to help you understand when and how it applies.
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