The Federal Board of Revenue (FBR) has set September 30, 2026, as the deadline for filing income tax returns for Tax Year 2026, with taxpayers who miss the deadline facing significantly higher penalties from October 1.
According to FBR sources, the late-filer category will be discontinued from October 1, meaning taxpayers who fail to submit their returns by September 30 will be treated as non-filers and will be subject to the applicable penalties.
Individuals who fail to file their income tax returns could face a penalty of up to PKR25,000, compared with the existing penalty of PKR1,000. For associations of persons (AOPs), the penalty will increase from PKR10,000 to PKR50,000, while companies could face a penalty of PKR100,000, up from PKR20,000.
| Taxpayer category | Existing penalty | Penalty from Oct 1 |
|---|---|---|
| Individual | PKR1,000 | Up to PKR25,000 |
| AOP | PKR10,000 | PKR50,000 |
| Company | PKR20,000 | PKR100,000 |
The FBR has urged individuals, businesses and companies to complete their tax filing requirements before the September 30 deadline to avoid higher penalties and other consequences associated with non-filer status.
Taxpayers report IRIS portal issues
The deadline comes amid complaints from taxpayers about technical problems and slow performance on the FBR’s IRIS portal.
Taxpayers have reported difficulties in completing and submitting their returns, with concerns that increased traffic on the system could create further problems as the deadline approaches.
The final Tax Year 2026 return form was issued on September 2, leaving taxpayers around four weeks to complete and submit their returns.
The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has called for an extension of the deadline until October 31, citing technical problems with the IRIS portal and difficulties faced by businesses.
FPCCI President Atif Ikram Sheikh said an extension would give taxpayers more time to complete their returns and could help expand the tax base.
Asan Tax Scheme penalties
Taxpayers covered under the government’s Asan Tax Scheme will also face progressively higher penalties for delayed filing, according to FBR sources.
Those filing during the first month after the deadline will face a PKR10,000 penalty, rising to PKR25,000 during the second month and PKR50,000 during the third month.
| Filing period | Penalty |
|---|---|
| First month after deadline | PKR10,000 |
| Second month | PKR25,000 |
| Third month | PKR50,000 |
The FBR has advised taxpayers who have yet to file their returns to complete the process by September 30 to avoid the higher penalties that will apply from October 1.
