How to Submit Tax Returns With the FBR Using Iris
Are you interested in finding out how to submit your income tax return and wealth statement with the FBR using their online portal? Do you own a company or work as a salaried or business/individual or an AOP? Read on for detailed instructions about how to proceed.
The following persons have to submit their income tax returns online, using the FBR's Iris portal. Manual returns submitted by people in these categories will not be considered valid.
- All salaried employees.
- All employees registered under the Sales Tax Act 1990.
- Persons with income of Rs.1000,000 or more.
- Persons whose deduction of tax under the final tax regime is more than Rs.35000. This means that if you are a supplier, service provider, or contractor and the tax is deducted at source is more than Rs.35,000, you are legally obliged to submit your income tax return online.
- Any company.
It is important to submit your return online within the stipulated time, as heavy penalties are levied on late or non-submission of returns. Despite early problems with Iris software, the portal is now running smoothly. Follow the following guidelines to make sure you submit your tax return and wealth statement properly.
In order to submit your income tax return online you must have an NTN. Obtaining NTN certificate is very easy.
- Visit the FBR online and select the registration tab along the top. It is easier if you use Internet Explorer (you may have problems with Chrome and Mozilla Firefox).
- Find the link for "Registration for Unregistered Person." Enter your CNIC number and your name. Any mistakes could cause your application to be rejected.
- Ignore the message about sales tax registration and click on “continue." Fill in the form. Enter your date of birth, residential address, activity, land line, mobile number, and email address.
Now fill in the second part, which deals with your representative type.
- If you are filling in the form for yourself, select the "Authorized Representative u/s 172" and then select “Self” which will automatically enter all of your personal particulars in the next columns. Click “Save Registry” and continue to fill in the next columns.
- If you are an employee, enter your employers NTN and city of employment.
- If you are a salaried employee, your application is complete. Just print out your application and click “Verification” and "Submit" buttons simultaneously.
- If you own a business, enter your business name, trade mark, business address, and other particulars of your business (such as electricity reference number, gas reference (if gas is installed), and telephone and mobile numbers of business.
Two working days after submitting your NTN application, you will receive an email confirming that you have been allotted an NTN. Sign your printed-out application and impose thumb print at the appropriate place. Collect together the following documents:
- Paid electricity bill.
- Letter pad (if you are a business owner).
- Salary certificate/salary slip (if you are a salaried employee).
- Copy of partnership deed (in case you are an AOP).
- Copy of your CNIC.
Take the NTN application form along with above documents to an RTO office. There you will be issued the NTN certificate.
After this you can create a username and password and use it to log into the website above. Make following steps:
- All the particulars you provided in your NTN application will be available. Just click “Verify” and then "Submit". If the system gives an error message, go through the contents and correct any errors. After submitting your application, you will receive an SMS on your mobile mentioning an "Activation Code." Enter the Activation and pass codes into the website. After few moments you will receive your username and password.
A Note About Browsers
It is easier if you use Internet Explorer. You may have problems with Chrome and Mozilla Firefox.
Now you are ready to submit your tax return online using Iris. Go back to the portal and enter your username and password. Click "Declaration" and "From 114(2) Return of income filed voluntarily". A new form will appear. Click on "Period" and in the new window type in the year or click "Browsing" and select the year. Click "Save".
After completing this process your return will appear in the "Draft" folder. Click on the Draft and then "Declaration". Fill in the form after following the instructions available at the Iris portal's help page. You may also get help over the phone by calling 051-111-772-772.
Tax Rates for 2015 for Salaried persons in Pakistan FBR
Rate of tax
Where the taxable income does not exceed Rs.400,000
Where the taxable income exceeds Rs.400,000 but does not exceed Rs.750,000
5% of the amount exceeding Rs.400,000
Where the taxable income exceeds Rs.750,000 but does not exceed Rs.1,400,000
Rs.17,500 + 10% of the amount exceeding Rs.750,000
Where the taxable income exceeds Rs.1,400,000 but does not exceed Rs.1,500,000
Rs.82,500 + 12.5% of the amount exceeding Rs.1,400,000
Where the taxable income exceeds Rs.1,500,000 but does not exceed Rs.1,800,000
Rs.95,000 + 15% of the amount exceeding Rs.1,500,000
Where the taxable income exceeds Rs.1,800,000 but does not exceed Rs.2,500,000
Rs.140,000 + 17.5% of the amount exceeding Rs.1,800,000
Where the taxable income exceeds Rs.2,500,000 but does not exceed Rs.3,000,000
Rs.262,500 + 20% of the amount exceeding Rs.2,500,000
Where the taxable income exceeds Rs.3,000,000 but does not exceed Rs.3,500,000
Rs.362,500 + 22.5% of the amount exceeding Rs.3,000,000
Where the taxable income exceeds Rs.3,500,000 but does not exceed Rs.4,000,000
Rs.475,000 + 25% of the amount exceeding Rs.3,500,000
Where the taxable income exceeds Rs.4,000,000 but does not exceed Rs.7,000,000
Rs.600,000 + 27.5% of the amount exceeding Rs.4,000,000
Where the taxable income exceeds Rs.7,000,000
Rs.1,425,000 + 30% of the amount exceeding Rs.7,000,000]