FBR extends deadline for filing income tax returns

ISLAMABAD: The Federal Board of Revenue (FBR) has further delayed the filing date of Income Tax Returns for the Tax Year 2025. Initially, to be filed by September 30, 2025, the date had already been extended to October 15 on the issuance of Circular No. 4 of 2025‑26. Now, following the trade associations’ and tax attorneys’ appeals, it is to be further extended to October 31, 2025.

Business groups, tax practitioners, and other parties had requested the FBR to grant more time. They gave reasons such as delays in obtaining financial records, technical issues on the IRIS e‑filing portal, and integrating Enterprise Resource Planning (ERP) systems with FBR systems.

Officials previously had opposed extensions beyond that, threatening late-filing penalties. But the pressure reportedly mounted, leading to a change of heart. The new extension is being done under Section 214A of the Income Tax Ordinance, 2001 — the same legal rationale applied for the previous shift to October 15.

During the initial three and a half months of the ongoing fiscal year (through October 15), more than 5.06 million individuals filed tax returns, as opposed to 4.60 million in the corresponding period last year. In 2024–25, 7.6 million individuals filed tax returns.

For millions of people and businesses readying their returns, the extension is a blessing. The extra two weeks should relieve the pressure on taxpayers fighting technical slippage or document issues.

Taxpayers must not procrastinate, though. Mistakes, sluggish portal functionality, and incomplete filings continue to be threats.