The Federal Board of Revenue (FBR) is now debating whether to extend the deadline for submitting income tax returns. The current deadline for submitting income tax returns is September 30. However, there is a considerable possibility that this deadline will be moved back to October 31.
This material was provided by a confidential source who shared it with ProPakistani. While the final decision has not been taken, the FBR is scheduled to make an official statement in the following 1-2 days through an income tax circular.
The New IRIS Module 2.0’s Difficulties
The major reason for the possible prolongation is technical challenges with the new IRIS module 2.0, which was particularly created for income tax return filing. This module has been plagued by a number of issues, making the filing procedure difficult for taxpayers and tax experts.
Some of the issues reported with IRIS 2.0 include:
- Calculation Errors: Incorrect calculations have been observed, such as miscalculated turnover tax at 1.50% instead of the correct rate of 1.25% for eligible manufacturers.
- Data-Saving Problems: Taxpayers have faced difficulties in saving their data within the module.
- Unresponsive Buttons: Users have encountered unresponsive buttons within the module, making it frustrating to navigate.
- Frequent Glitches: The module has been prone to glitches and malfunctions, which disrupt the filing process.
These technological difficulties not only hindered the filing process but also raised doubts about the veracity of the data presented. Income tax errors and blunders may cause issues and significant fines for individuals.
Furthermore, IRIS 2.0 flaws have disproportionately impacted specific groups, notably non-residents and those participating in property purchases with zero-tax computations. It has also highlighted the need for considerable reforms to the outmoded mechanism for generating withholding income tax challans.