The ‘salaried individuals’ are not required to update their ‘Tax Profiles’ under section 114A of the Income Tax Ordinance, 2001, says FBR.
According to the Federal Board of Revenue (FBR) issued notification, there is no need to update “Tax Profiles” for ‘salaried individuals’. The legal clarification issued to Lahore-based chartered accountant firm further says, the Salaried Individuals are not required to update their Tax Profile but whoever is applying for the registration under section 181 of the Income Tax Ordinance 2001, is required to update the Tax Profiles, salaried individuals are also included.
Moreover, the option in order to verify changes has been given in Tax Profile for submission of changes made in the Profile. The e-intermediaries have been enabled to update the Tax Profiles of Taxpayers. FBR added that e-intermediary needs to be nominated by Taxpayer to update the Tax Profile.
Through an income tax circular 8 of 2020, the FBR has already extended the last date of submitting the Taxpayer’s Profile by up to March 31, 2021.
According to the FBR’s circular, in the exercise of the powers conferred under Section 214A of the Income Tax Ordinance, 2001, the FBR has extended the last date of furnishing of Taxpayer’s Profile required to be submitted under Section 114A ibid up to March 31, 2021.
Moreover, user guide (profile update under Section 114A of the Income Tax Ordinance, 2001) has also been issued for taxpayers according to which, the taxpayer’s profile contains information relevant to income regarding bank accounts, utility connections, business premises including all manufacturing, storage, or retail outlets operated or leased by the taxpayer, types of businesses, and such other information as may be prescribed by the board.
However, whoever fails to update a taxpayer’s profile within the due date or period as extended by the board under Section 214A, shall not be included in the active taxpayers’ list for the latest tax year ending before the aforesaid due date or extended date.