Anyone with income above the taxable limit (Rs 600,000), every company, and anyone who owns property, a vehicle or a business bank account; salaried people file to stay on the Active Taxpayer List.
Tax year and deadline
Tax year 1 July to 30 June; individual returns are due 30 September (often extended); companies by 31 December.
Penalties for filing or paying late
Under section 182 of the Income Tax Ordinance, 2001 (Table, entry 1), a person who fails to file a return of income by the due date pays the higher of 0.1% of the tax payable for each day of default or Rs 1,000 for each day. The minimum penalty is Rs 10,000 for an individual with 75% or more of income from salary and Rs 50,000 in all other cases, and the maximum is 200% of the tax payable for the year. Filing within one, two or three months after the due date reduces the penalty by 75%, 50% and 25%. Separately, section 205 charges default surcharge on unpaid tax at 12% or KIBOR plus 3% a year, whichever is higher, from the due date until the date of payment.
Written from published tax-authority guidance and reviewed on 2026-10-11. Everything here is indicative rather than a ruling on your circumstances, and rules change. Confirm anything you rely on with Federal Board of Revenue (FBR) before acting on it, and tell us if you find something out of date so we can correct it.
This guide explains the rules in general terms and is not tax advice for your circumstances. Confirm your position with a qualified adviser or with Federal Board of Revenue (FBR).