Definition:
A person appearing on the active taxpayers’ list who has not filed their return by the due date or the extended due date.
Any Exclusion:
Any person who has filed their return by the due date or the extended due date for all of the last three tax years preceding the tax year for which the return has not been filed by the due date.
Importance:
Understanding this concept is important because recent tax amendments have introduced separate and increased tax rates for this category of taxpayers, especially on the sale and purchase of immovable property.
Further Clarification:
It is expected that the FBR will clarify this concept further in its explanatory SRO on changes made through the Finance Act 2024.
Reference:
Rule 1A of the Tenth Schedule to the Income Tax Ordinance, 2001
Asad Mirza
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