Islamabad, July 12, 2025 — Are you running a business and your annual income exceeds Rs300,000? If yes, then get ready — return filing for Tax Year 2025 is no longer optional. Mark your calendar: September 30, 2025, is the deadline for submitting your income tax return to the Federal Board of Revenue (FBR).
Under sub-section 1A of the Income Tax Ordinance, 2001, return filing is now mandatory for every individual whose annual income under the head “Income from Business” is more than Rs300,000. Even if your income is below the taxable threshold, you are still legally obligated to submit your return if it crosses this limit.
But that’s not all. Section 114 of the Ordinance outlines several other categories of taxpayers who are also required to complete return filing for the tax year. Wondering if you fall into one of them? Here’s a quick checklist:
• Are you a company or an individual whose income exceeds the tax-free limit?
• Do you own immovable property (like a 500 sq. yard plot or a flat over 2,000 sq. feet)?
• Have you purchased a vehicle with engine capacity above 1000cc?
• Have you received a commercial or industrial electricity bill exceeding Rs500,000 annually?
• Are you a member of any chamber of commerce, trade association, or professional body like the Pakistan Bar Council or the Pakistan Engineering Council?
If you answered yes to any of the above, return filing is not just advised — it’s required by law.
Moreover, if you’ve been charged to tax in any of the last two years, or if you wish to carry forward a business loss, you must file your return this year. Even resident individuals with foreign income or overseas assets are obligated to disclose details through return filing under section 116A.
The FBR is ramping up enforcement, and late or non-filers may face penalties or audits. Don’t wait until the last minute — start preparing your documents and consult a tax advisor if needed. Compliance isn’t just about avoiding trouble — it’s about becoming part of a transparent and responsible business ecosystem.
Return filing isn’t just a formality anymore. It’s your obligation. Stay compliant, stay safe.