FBR further extends 2025 return filing deadline?

Income Tax Return FBR

Karachi, October 15, 2025 – As the clock ticks down on the final day of Pakistan’s 2025 income tax return filing deadline, speculation is mounting over whether the Federal Board of Revenue (FBR) will announce another extension.

The current deadline for return filing expires today, October 15, 2025, after already being extended from the original date of September 30, 2025, following repeated demands from taxpayers and professional associations.

The growing expectation of another extension stems from continued glitches on the FBR’s IRIS portal, which has made online filing difficult for thousands of taxpayers. Both the Karachi Tax Bar Association (KTBA) and the Lahore Tax Bar Association (LTBA) have submitted strong appeals to the authorities, urging the FBR and the Prime Minister to grant a further extension in the filing deadline to ease compliance pressures.

In its detailed representation to FBR Chairman Rashid Mahmood Langrial, KTBA President Ali A. Rahim highlighted persistent system errors and legal inconsistencies affecting accurate filing. The association’s letters to the FBR in August and September documented several unresolved issues, including misapplication of surcharge under Section 4AB, incorrect tax adjustments, and failure to process refund claims. KTBA further pointed out that the official return form was issued late, effectively reducing the statutory period for submission by nearly 50 days.

“The FBR’s delayed notifications and ongoing portal malfunctions have left taxpayers struggling to meet their legal obligations. A one-month extension, until November 15, would be a fair and necessary step,” KTBA stated in its appeal.

Similarly, LTBA President Muhammad Asif Rana, in a formal letter to Prime Minister Shehbaz Sharif, echoed these concerns, emphasizing that despite Circular No. 4 of 2025-26, many taxpayers are still unable to complete the filing process due to continuous IRIS breakdowns. The LTBA identified multiple technical flaws, including incorrect computation of tax credit, wrongful application of Section 4AB on exempt income from Associations of Persons (AOPs), and double taxation on profit from debt under Section 151.

The association also noted that administrative delays had shortened the statutory 92-day filing period by nearly half, as the 2025 return form was issued only on August 18, 2025. Citing Section 118 of the Income Tax Ordinance, 2001, the LTBA argued that the delay had created an “impossible compliance environment” for taxpayers.

In light of these issues, LTBA has appealed for an extension of the filing deadline until December 31, 2025, ensuring fair opportunity for all taxpayers to comply without penalties. Business associations have joined the call, warning that unresolved technical issues could affect national revenue and taxpayer confidence if the deadline is not extended.