ISLAMABAD: Pakistan Tax Bar Association (PTBA) has urged the Federal Board of Revenue (FBR) to launch form for mandatory profile update by registered taxpayers as compliance date is fast approaching.
The PTBA on November 13, 2020 sent a letter to Muhammad Javed Ghani, Chairman, FBR, urging him to publicize prescribed form for updating business profile by taxpayers under section 114A of Income Tax Ordinance, 2001.
“The PTBA had tried to highlight this issue on September 26, 2020 but unfortunately no action whatsoever has been taken by the FBR authorities in this regard,” the PTBA said.
An important amendment was made through Finance Act, 2020 regarding updation of business profile by the taxpayers under section 114A of the Ordinance, 2001 but not specific prescribed form for the purpose is still introduced by the FBR.
“It is very unfortunate for the PTBA that why said prescribed form is still not publicized by the concerned FBR authorities because it is also a time consuming work for the taxpayers / tax consultants and last date for updating the same is December 31, 2020 as per provisions of law.”
The PTBA also highlighted the issue of calculation errors of minimum tax for tax year 2020.
“The last date for submission of return has been notified as December 08, 2020 and till the settlement of issue regarding determination of minimum tax liability, the taxpayers would not be able to submit returns within due date, so action in this regard be taken at priority basis otherwise PTBA would have no other option but to ask for further extension for which the body of PTBA is not desirous.”
The PTBA said the scheme of the Income Tax Ordinance, 2001 is based on universal self assessment. “Self assessment does not mean only assessment of income, rather assessment of tax liability is also not only the prerogative and right but also obligation of the taxpayer,” the PTBA said, adding that the relevant columns related to attributable taxable income against minimum tax liability which have been blocked in the portal be opened for the taxpayers to incorporate his/its own attributable income as the said option has been provided in the columns related to tax collections made under section 148 of the Income Tax Ordinance, 2001.