FBR Extends Sales Tax Return Deadline for February to April 13

FBR Extends Sales Tax Return Deadline for February to April 13

Islamabad, April 9, 2025 – The Federal Board of Revenue (FBR) has announced an extension in the deadline for filing sales tax and federal excise return for the tax period of February 2025.

According to an official notification issued on Wednesday, the new deadline for submitting the return is now April 13, 2025, giving taxpayers additional time beyond the previously extended due date of March 27.

READ MORE: FBR Extends Filing Deadline for Sales Tax Returns Till March 27

The original due date for filing the return was March 18, 2025. However, due to technical and compliance challenges faced by taxpayers, the FBR has decided to accommodate stakeholders by allowing more time—provided that the due sales tax liability has been deposited within the original deadline.

In an internal circular shared with Chief Commissioners across Large Taxpayers Offices (LTOs), Medium Taxpayers Office (MTO), Corporate Tax Offices (CTOs), and Regional Tax Offices (RTOs), the FBR informed them of the revised timeline and reiterated its commitment to facilitating compliance while ensuring the integrity of the tax system.

This latest extension comes in response to growing pressure from the business community and tax practitioners, most notably the Karachi Tax Bar Association (KTBA). In recent weeks, the KTBA has raised concerns over complications with the IRIS portal—particularly the mandatory declaration of eight-digit Harmonized System (HS) Codes and specific Units of Measurement (UoM) in the return filing process.

READ MORE: KTBA Raises Red Flags on 8-Digit HS Code and UoM Compliance

In a formal letter addressed to the FBR Chairman, the KTBA President criticized the lack of practical implementation planning. The letter emphasized that while these measures aim to improve traceability and data accuracy, applying such complex standards to local transactions is creating undue burden on taxpayers. The use of 8-digit HS Codes may be appropriate for import documentation, but its extension to routine domestic trading is seen as impractical and inconsistent with the objectives of the Sales Tax Act, 1990.

The FBR, while yet to officially comment on these implementation concerns, appears to have acknowledged the urgency by extending the return deadline—offering much-needed breathing room for taxpayers to ensure accurate and compliant filings.