Karachi, December 10, 2025 – The Federal Board of Revenue (FBR) has officially announced December 31, 2025 as the last date for corporate entities to file their annual income tax returns for Tax Year 2025. The tax authority has reminded companies to ensure timely filing in compliance with the Income Tax Ordinance, 2001.
According to the FBR, companies whose tax year ends between January 1 and June 30 are required to submit their income tax returns on or before December 31 following the end of the respective tax year. The statement further clarifies that the deadline for all other categories of taxpayers—such as salaried individuals, business individuals, Association of Persons (AOPs), and companies operating under a special tax year—already expired on October 31, 2025.
Legal Requirement for Filing Returns Under Section 114
Section 114 of the Income Tax Ordinance, 2001 mandates the filing of annual income tax returns by various categories of taxpayers. According to the law, the following persons are required to file their income tax returns:
• Every company, regardless of income level.
• Individuals whose taxable income exceeds the minimum taxable threshold.
• Non-profit organizations, as defined under Section 2(36).
• Individuals subject to final taxation under any provision of the Ordinance.
• Persons who:
o Have been charged to tax in any of the preceding two years.
o Intend to claim losses carried forward.
o Own immovable property measuring 500 square yards or more, or flats with 2,000 sq ft or more covered area in specified areas.
o Own a motor vehicle above 1000cc.
o Hold a National Tax Number (NTN).
o Hold a commercial or industrial electricity connection with an annual bill exceeding Rs. 500,000.
o Are registered with chambers, trade bodies, market associations, or professional councils such as PEC, PMDC, PBC, ICAP, or ICMAP.
o Are required to file a foreign income and assets statement under Section 116A.
Moreover, individuals earning between Rs. 300,000 and Rs. 400,000 under the head “Income from Business” are also required to file a return.
Requirements for Filing and Revising Returns
The income tax return must be filed in the prescribed form, accompanied by necessary annexures, supporting documents, wealth statements, foreign income and assets statements, and evidence of tax payment. Returns submitted electronically are treated as legally valid submissions under the law.
The Ordinance also lays out rules for revising returns. A revised return must include revised accounts and a written explanation of the changes. Approval from the Commissioner is required unless the revision is filed within 60 days of the original submission. In specific cases of bona fide omissions or errors, the Commissioner may grant approval.
FBR Encourages Timely Compliance
The FBR has advised all corporate taxpayers to avoid last-minute delays and to file their returns well before the December 31, 2025 deadline. Failure to file returns on time may result in penalties, default surcharges, and notices from the Commissioner under the Income Tax Ordinance.