Filing your income tax return in Pakistan has become easier than ever, thanks to the digital services provided by the Federal Board of Revenue (FBR). Whether you're a salaried individual, freelancer, or business owner, filing your return on time helps you stay compliant, avoid penalties, and enjoy benefits like being listed as an Active Taxpayer (ATL).

In this step-by-step guide, you’ll learn how to file your income tax return online in Pakistan, even if you’re doing it for the first time.

✅ Who Needs to File a Tax Return?

You are required to file an income tax return if you are:

• A salaried person earning above the taxable limit (PKR 600,000+ annually)

• A business owner or freelancer

• A property owner earning rental income

• A filer who wants to remain on the Active Taxpayer List (ATL)

• Anyone owning a car above 1000cc or a house larger than 500 sq. yards

📋 Documents You Need Before Filing

Make sure you have these on hand:

• CNIC number

• Salary certificate or business income details

• Bank account statements

• Utility bills (if applicable)

• Details of property or vehicle ownership

• Tax deduction certificates (if any)

• NTN (National Tax Number) – if registered

• Internet access & mobile number registered with FBR

🖥️ Step-by-Step Guide to File Tax Return Online in Pakistan

Step 1: Register on FBR’s IRIS Portal

• Go to https://iris.fbr.gov.pk/

• If you're a new filer, click on “Registration for Unregistered Person”

• Enter your CNIC, mobile number, and email

• You’ll receive login credentials via SMS and email

Step 2: Log in to IRIS

• Visit the IRIS portal and enter your login details

• Update your Profile (address, bank details, occupation, etc.)

Step 3: Select “Declaration”

• From the dashboard, go to Declaration > Income Tax Return > Period (e.g., 2024)

• Click “Create” to start filing your return

Step 4: Enter Your Income Details

Depending on your category:

• Salaried Individuals:

• Go to the Employment section

• Enter your gross salary, tax deducted, and employer details

• Business Owners / Freelancers:

• Enter business income under “Income from Business”

• Declare expenses to calculate net profit

• Other Income:

• Declare rental income, bank profit, dividends, etc.

Step 5: Declare Assets and Liabilities

• Enter details of your assets (property, car, bank balance, etc.)

• Include liabilities (loans, payables)

• FBR uses this for Wealth Statement comparison

Step 6: Tax Credits & Adjustments

• Add any withholding tax deductions (e.g., on banking, phone bills)

• Enter tax credits like donations, investments, etc.

Step 7: Submit the Return

• Review all entries carefully

• Click “Submit” at the bottom of the return

• If tax is payable, generate a PSID, pay through bank or online banking, then update it in IRIS

🧾 After Filing: Get Your Acknowledgment

Once filed successfully, you’ll get an acknowledgment in your IRIS inbox. You can also check your name on the Active Taxpayers List (ATL) at https://atl.fbr.gov.pk

💡 Tips for First-Time Filers

• Use FBR's Tax Asaan app (available on Android & iOS)

• Double-check tax deductions from your salary slips or bank statements

• If confused, consult a tax consultant or accountant

• File before the deadline (usually September 30 each year) to avoid fines

⚠️ Penalties for Not Filing

• PKR 1,000 to PKR 40,000 fine depending on your income level

• Exclusion from the Active Taxpayer List, resulting in higher withholding taxes

• Legal notices and audit risks from FBR

Final Thoughts

Filing your income tax return online in Pakistan not only fulfills your legal duty but also gives you benefits like lower tax rates, easy visa processing, and financial credibility. Thanks to FBR's IRIS system, the process is straightforward and digital. The earlier you start, the smoother your experience will be.