KARACHI: Certain provisions are being introduced to define the concept of ‘tax profile’ and to prescribe penalties and other negative consequences for taxpayers who fail to file or update their tax profiles within the prescribed timelines.
When a taxpayer files a registration application, as part of the application, he is required to share certain information which is part of his profile, such as bank details, properties, assets, etc.
The taxpayers who are registered before introduction of web portal have insufficient information available with FBR and there is no mandatory provision to update his information. Similarly, new registered taxpayers also are not mandatorily required to update their profile.
The tax profile will be as prescribed in the Income Tax Rules and shall be accompanied by such annexures statements or documents as may be prescribed. It appears that such profile would generally include information on bank accounts, utility connections, business premises, etc.
All existing registered taxpayers as well as those who will obtain registration by September 30, 2020 will be required to file and update their tax profile by December 31, 2020 whereas other taxpayers will be required to file and update their profiles within 90 days of registration.
Furthermore, with regard to any changes in such profile, the updating is required to be made within 90 days of such change.
Failure to file and update tax profiles in the above manner and within the prescribed dates could result in a taxpayer’s exclusion from active taxpayers list. However, such persons can be included back in active taxpayers list by filing the requisite information and paying the prescribed amount of surcharges.