FBR urged to extend date for filing sales tax return

FBR urged to extend date for filing sales tax return

LAHORE: The apex tax bar of the country on Wednesday demanded the chairman of Federal Board of Revenue (FBR) to extend the date for filing monthly sales tax return due to extended Eid holidays and prevailing restrictions due to coronavirus pandemic.

Pakistan Tax Bar Association (PTBA) in a letter to FBR chairman Asim Ahmed highlighted the problems faced by taxpayers and tax practitioners due to extended Eid holidays and third wave of coronavirus.

The PTBA said: “The government has announced holiday from May 08 – 15, 2021 on the eve of Eid-ul-Fitr while considering current situation of the third wave of pandemic COVID-19 in the country.”

The government has not only announced national holidays week-long holidays but also going to be made complete lockdown in the country on the recommendations of NCOC during the aforesaid period, due to increase in the number of cases on daily basis, it added.

In this situation the working for preparation for sales tax returns as well as deposit of sales tax liability up to May 15 (which is due date of deposit of sales tax liability under the law) is not possible for the taxpayers in general, the PTBA said and added that after re-joining the offices by the public after Eid holidays from May 17 onwards, only two days would had been left for filing of sales tax returns for the tax period April 2021.

The PTBA informed the FBR chairman that in this situation neither the taxpayers can deposit their sales tax liability within the due date nor they can prepare and submit their sales tax returns with the date as provided under the law. “Thus, time for payment of due sales tax liability as well as submission of sales tax returns, is required to be extended for at least 10 days beyond the prescribed date and time in the light of the facts.”