ISLAMABAD: The Federal Board of Revenue has notified new rules for filing of tax returns for the tax year 2014.

The amendments in the rules were notified through SRO-819 of 2014 by amending the SRO-618 of 2014.

According to details, the following errors and omissions would render a return invalid and make the taxpayer a non-filer and liable to penalty under section 182(1).

These include return on which NTN or CNIC is missing or incorrect or invalid; return on which mandatory fields marked by * are empty; return which is not signed by the taxpayer or representative (as defined in section 172 of the Income Tax Ordinance, 2001) of the taxpayer; return which is not filed in the prescribed form; and return which is not filed in the prescribed mode.

Individuals deriving income under the head of salary have to file one page IT-1A Form with Annex-F and wealth statement if required to be filed.

Moreover, individuals deriving income under the head of salary, property, capital gains and other sources (excluding business) and income subject to fixed / final tax have to file one page return in IT-1B Form with Annex-A, Annex-F and wealth statement if required to be filed.

Association of Persons (AOPs) deriving income under any head other than business have to file one page IT-1C Form with Annex-A.

Individuals deriving income under the head business or falling under Final Tax Regime (FTR) such as commercial importers, exporters, contractors, etc. have to file two-page Return in IT-2 Form with Annex-A, Annex-B, Annex-F and wealth statement if required to be filed. Annex-C, Annex-D & Annex-E are required only where depreciation / amortisation, admissible / inadmissible deductions and minimum tax chargeable / option out of Presumptive Tax Regime are involved.

Individuals, including members of AOPs or directors of companies, whose last declared or assessed income or declared income for the current tax year is equal to or more than PKR1,000,000 or the final tax paid is equal to or more than PKR35,000, must file wealth statement.

AOPs deriving income under the head business or falling under Final Tax Regime (FTR), such as commercial importers, exporters, contractors, etc. have to submit IT-2 Form with Annex-A and Annex-B.

Remaining Annexes (C, D, E) are required only where depreciation / amortisation, admissible / inadmissible deductions and minimum tax chargeable / option out of presumptive tax regime are involved.

Taxpayers may file return of total income / statement of final taxation and wealth statement through the following modes: electronically at FBR portal (https://e.fbr.gov.pk ) which is mandatory for all AOPs, sales tax registered persons, refund claimants and salaried persons having annual income of Rs500,000 or more.

However, all others are also encouraged to file the returns electronically; manually on paper at Taxpayer Facilitation Counter of the respective RTO. Paper Return Form can be downloaded from FBR website http://www.fbr.gov.pk. Tax can be paid in any authorised branch of NBP and SBP at any time before filing of return.

Published in Dawn, September 17th, 2014