ISLAMABAD: The deadline for providing information on the deemed income of the immovable property, where yearly tax returns have already been filed, has been extended by the Federal Board of Revenue (FBR) until December 31, 2022.
The details show that on November 22, 2022, the FBR released a notification, SRO 2052(I)/2022 to introduce draft revisions to the Income Tax Rules, 2002 which stated that a form would be required to be filed with information about the income from immovable properties until December 31, 2022, under Section 7E of the Revenue Tax Ordinance, 2001.
The previous rules, according to FBR, made a legal difficulty since many returns for the tax year 2022 were submitted before the form was released, making it challenging for taxpayers to make adjustments to their forms.
It is relevant to mention here that, following the release of SRO 1891, Karachi Tax Bar Association (KTBA) sent a letter to the FBR chairman on October 27, 2022, informing him of the difficulties in filling out column 7E.
The KTBA has raised the issue of property values for the purposes of Section 7E of the Ordinance, which deals with Deemed Income on Capital Assets.
