Approximately 1,022,000 Taxpayers Will Benefit From Automatic Closure Of Audit

Federal Board of Revenue (FBR) on Wednesday said that the facility for availing automatic closure of audit u/s 214E would be available till December 31, 2018 and approximately 1,022,000 taxpayers will benefit from it.

ISLAMABAD, (UrduPoint / Pakistan Point News - 14th Nov, 2018 ) :Federal board of Revenue (FBR) on Wednesday said that the facility for availing automatic closure of audit u/s 214E would be available till December 31, 2018 and approximately 1,022,000 taxpayers will benefit from it.

All those taxpayers automatically selected for audit u/s 214D due to late filing of returns for tax year 2015, 2016 and 2017, have now the opportunity for automatic closure of audit u/s 214E by paying the penalty or higher tax than previously filed return, whichever is applicable under the law.

This was stated by Member Taxpayers' Audit of FBR Nausheen Javaid Amjad, while talking to taxpayers, tax lawyers and tax practitioners of Lahore and Faisalabad, said a press release issued here.

Nausheen Javaid Amjad explained that the salaried persons or those whose income falls under the category of final tax regime (FTR) or Presumptive Tax Regime (PTR) have to pay penalty only to close their audits.

However, taxpayers whose income falls under any other head of income, have to apply for revision of returns u/s 214E in Iris system, she added.

She said that a tab has been made available in the system for this task and the relevant commissioner will approve the said request within three days or the system will automatically allow revision on the fourth day.

She further said that the system will automatically calculate the tax due in both categories, adding that once the payment is made and relevant correction in sales tax CPR) is attached and submitted, the system will automatically close the audit proceedings.

The facility for availing automatic closure of audit u/s 214E will available till December 31, 2018 and approximately 1,022,000 taxpayers will benefit from it.

Member Taxpayers' Audit further said that Section 214D under which late filers were automatically selectedfor audit, has been deleted from the Income Tax Ordinance 2001 in the Finance Act 2018 due to undue hardshipsfaced by new taxpayers and to facilitate the process of broadening of tax base.