For Overseas Pakistanis, understanding how to file an annual income tax return through the Federal Board of Revenue (FBR) Iris portal is essential to ensure seamless legal and tax compliance in Pakistan. Whether you hold assets and bank accounts in Pakistan or have no local source of income at all, the filing procedure varies depending on your specific financial situation.
This comprehensive guide provides a step-by-step walkthrough of the entire tax filing process for Non-Resident Pakistanis using the FBR Iris portal for Tax Year 2026.
Understanding Non-Resident Tax Status in Pakistan
Under Sections 82 to 84 of the Income Tax Ordinance, tax residency is determined by the number of days an individual resides in Pakistan during a tax year:
- Tax Resident: An individual who stays in Pakistan for 183 days or more during the tax year.
- Non-Resident: Overseas Pakistanis who stay in Pakistan for a shorter duration (such as a month or 15 days) do not meet the 183-day threshold and are classified as tax non-residents.
Two Categories of Non-Resident Tax Return Filers
Return filing for Non-Resident Pakistanis generally falls into two distinct categories:
- Non-Residents with No Income or Assets in Pakistan: Individuals who do not maintain bank accounts, savings accounts, properties, or any income-generating sources in Pakistan.
- Non-Residents with Income or Assets in Pakistan: Individuals who maintain savings accounts, Term Deposit Receipts (TDRs), mutual fund investments, or property in Pakistan.
If you have no source of income or assets in Pakistan, follow these steps:
1. Portal Login and Tax Period Selection
- Visit the FBR Iris portal at
rs.fbr.gov.pk. - Enter your CNIC (without dashes) and Password to log in. (If you do not have an NTN, click on Taxpayer Registration to sign up).
- Verify the captcha and proceed to the dashboard.
- Click on “Submit Your Income Tax Return for Tax Year 2026”.
- Select the tax period running from July 1, 2025, to June 30, 2026 (Tax Year 2026) and click Continue.
2. Selecting Income Sources & Residency
- On the Sources of Income page, select No Income.
- Under the question regarding residency (Are you a tax resident of Pakistan as per Section 82 to 84?), select No.
- Under the option Do you want to submit Wealth Statement?, select No (Non-residents without local assets are not required to file a Wealth Statement).
3. Submission
- Click Start Return Filing.
- If no tax has been deducted under any section (e.g., cell phone SIM tax), proceed to Submit.
- Enter your 4-digit PIN and submit the return. The completed return will move to the Completed Tasks folder.
Step-by-Step Guide: Filing Return with Income or Assets in Pakistan
If you earn profit on savings accounts, hold TDRs, or have invested in mutual funds in Pakistan, follow this procedure:
1. Selecting Income Sources and Wealth Statement
- Log into the portal and select Tax Year 2026 (July 1, 2025 – June 30, 2026).
- On the Sources of Income page, select Income from Other Sources.
- Select No for Tax Residency status.
- Select Yes under Do you want to submit Wealth Statement?.
- Click Start Return Filing.
2. Checking Tax Deduction History (MIS Information Center)
- To verify tax deducted by banks or institutions, navigate to the MIS tab in the top navigation bar.
- Click Information Center > Payment Details.
- Select Tax Year 2026 and click Search.
- If FBR records are not updated, collect your Tax Deduction Certificate directly from your bank.
3. Adding Profit on Debt and Tax Deductions
- Open your draft return and go to the Tax Deductions tab.
- Click Final Tax.
- Click + Section and search for Profit on Debt under Section 151(1)(b) (From bank accounts/deposits). Select the box and click Add.
- Click the + icon next to Profit on Debt to add bank account details. Enter:
- Investment Type / Nature: Select account type (e.g., Saving Account, Current Account, or TDR).
- Institution Name: Enter the complete bank name and account details.
- In the Taxable Amount column, enter the total profit earned (e.g., profit received on TDR/saving account).
- In the Tax Deducted column, enter the exact amount of tax withheld by the bank.
- Click Calculate and Save to ensure data is properly stored.
4. Final Submission
- Review all entries and verify calculations.
- Click Submit and enter your 4-digit PIN to finalize the return.
Frequently Asked Questions (FAQs)
Q1: What is the tax period for Tax Year 2026 on the FBR Iris portal? Answer: The tax period for Tax Year 2026 starts on July 1, 2025, and ends on June 30, 2026.
Q2: Who is considered a tax resident of Pakistan? Answer: Under Sections 82 to 84 of the Income Tax Ordinance, 2001, an individual who resides in Pakistan for 183 days or more during the tax year is considered a tax resident.
Q3: Is a Non-Resident Pakistani required to file a Wealth Statement? Answer: Non-Resident Pakistanis who have no assets or income in Pakistan are not required to file a Wealth Statement. However, non-residents with local assets, investments, or bank accounts should file a Wealth Statement.
Q4: Under which section is bank profit on savings or TDRs declared? Answer: Profit earned on bank savings accounts or Term Deposit Receipts (TDRs) is reported under Section 151(1)(b) (Profit on Debt from bank accounts/deposits) under the Final Tax regime.
Q5: How can taxpayers check tax deducted by banks on the Iris portal? Answer: Taxpayers can check their withholding tax history by going to the MIS tab on Iris, selecting Information Center, and searching under Payment Details for the relevant tax year. If missing, details can be obtained via a bank Tax Deduction Certificate.
Conclusion
Filing an income tax return as a Non-Resident Pakistani on the FBR Iris portal is a straightforward process when following the correct steps. Overseas Pakistanis with no local assets can complete a basic declaration without a Wealth Statement, while those earning profit on bank deposits or investments can accurately report their income under Section 151 and file the required disclosures. Keeping your tax filings updated ensures compliance with Pakistani tax laws and avoids legal complications.
Professional Services & Contact Information
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