Extension for tax payment sought KARACHI: The Karachi Tax Bar Association (KTBA) urged the Federal Board of Revenue (FBR) on Thursday to extend the date for payment of income tax (withholding tax) collected in the period from September 5 to 10, 2016.
Under the Income Tax Rules 2002, tax collected or deducted by a person is required to be deposited into the government treasury within seven days from the end of each week.
The tax bar pointed out that tax deducted or collected for the period from Sept 5 to 10, 2016, is required to be deposited latest by 16 of this month.
Since the federal government has announced holidays on account of Eid-ul-Azha from September 12 to 14, 2016, it would leave only two working days for taxpayers to collect the withholding tax data, prepare requisite documents and deposit the tax into the government treasury.
Keeping in view the above deadline and time constraint to perform the required tasks, it is requested that the date of depositing tax by September 16 may be relaxed up to September 25, 2016, the association urged.