Islamabad, Sep 27: A real estate specialist has requested that the Federal Board of Revenue (FBR) extend the time for understanding S.R.O. 1448(I)/2024, which concerns the modifications to the Active Taxpayers List Rules, by an additional seven days.
Real estate analyst Muhammad Ahsan Malik informed FBR in a communication that the notice in the draft form relates to modifications made to the ATL rules that will impact taxpayers and the general public, but it lacks an explanation or a statement of the changes’ purpose and effect.
Because it is merely a list of additions and deletions to the current rules, without explanation of their implications from FBR, this announcement is therefore incomprehensible to the general public.
Therefore, it is advised that the public be given an additional seven days’ notice to offer comments, and that FBR issue a comparative statement outlining the expected modifications and explain how the proposed changes will impact the general public and taxpayers.
This is crucial because, without it, the draft SRO is merely a formality, and the FBR is attempting to hide behind legalese by changing the rules in order to comply with the law and publish it for public comment while keeping the true impact hidden from the public’s view, he continued.
The name of an individual on the Active Taxpayers List (ATL), who will submit returns for the most recent tax year, will also be included in the FBR under S.R.O. 1448(I)/2024 by the deadline, if it has been extended by the Board, the Commissioner, or both.
According to FBR, if an individual submits an income tax return for the most recent tax year, their name will be added to the ATL by the deadlines listed in sections 118, 119, and 214A, respectively, or by the date the Commissioner extends the deadline under section 119.
According to the FBR, the term “latest tax year” refers to the tax year that was last finished before the date the return was filed. It also includes the tax year that was completed prior to that year if the due date falls on that day. The last full year’s extended deadline for filing returns has not passed.
If a taxpayer pays the surcharge outlined in proviso to clause (a) of sub-section (1) of section 182A of the Ordinance, and files his income tax return for the most recent tax year after the due date or extended due date as specified in sub-rule (1), his name will be added to the list of active taxpayers.
According to FBR, the name of a firm or group of people whose incorporation or creation occurred after June 30, relevant to the most recent tax year, and whose return is not required to be filed, will be listed among the active taxpayers.
