Section 227BA of the Income Tax Ordinance 2001 allows the FBR to offer cash rewards, rebates, tax credits and other incentives to eligible e-intermediaries and specified classes of persons.

The Federal Board of Revenue (FBR) has introduced provisions to reward e-intermediaries for filing income tax returns on behalf of new taxpayers during Tax Year 2027.

According to the Income Tax Ordinance, 2001, updated up to June 30, 2026, Section 227BA authorises the FBR to sanction rewards to e-intermediaries for facilitating the filing of returns by newly registered taxpayers.

Under subsection (1), the Board may approve rewards for e-intermediaries involved in filing income tax returns of new taxpayers.

Subsection (2) further empowers the FBR, with the approval of the Federal Minister in charge, to announce various incentives for specified classes of persons.

These incentives may include cash rewards, benefits, rebates, tax credits, allowances and other financial or non-financial incentives.

Furthermore, subsection (3) allows the FBR, with the approval of the Federal Minister in charge, to prescribe the procedures for granting these rewards and incentives through a notification published in the official Gazette.

The notification will also identify the classes of persons eligible to receive benefits under this provision.

The law clarifies that Section 227BA will take effect from the date notified by the FBR.

The provision forms part of the Income Tax Ordinance applicable to Tax Year 2027, covering July 1, 2026, to June 30, 2027.