Filing Tax Returns for Past Years

[Aikkhilari]

Assalam-o-Alaikum
What are the provision available to voluntarily declaring your past years income. Are there any charges or/and penalties?

Can you still file a Tax Return for prior years if your tax liability is ZERO.

If possible, how you go about filing past years Tax Returns?

[student_of_law]

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Aikkhilari</i>
<br />Assalam-o-Alaikum
What are the provision available to voluntarily declaring your past years income. Are there any charges or/and penalties?

Can you still file a Tax Return for prior years if your tax liability is ZERO.

If possible, how you go about filing past years Tax Returns?

<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

If you were bound to file return in the previous years under s.114 of ITO, 2001 but you failed to do so, then you will be liable to penalty under section 182.

However, if you were not liable to file return, but wants to file it voluntarily, there is no penalty for that.

[Aikkhilari]

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by student_of_law</i>

If you were bound to file return in the previous years under s.114 of ITO, 2001 but you failed to do so, then you will be liable to penalty under section 182.

However, if you were not liable to file return, but wants to file it voluntarily, there is no penalty for that.

<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

So there is a penalty even if there is no TAX PAYABLE

What is the quantum of penalty

[student_of_law]

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Aikkhilari</i>
<br />[quote]
So there is a penalty even if there is no TAX PAYABLE

What is the quantum of penalty

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If tax payable is zero there is no penalty in viw of the jugdments of Appellate Tribunal reported as 2011 PTD 184, 2010 PTD 1470, 2010 PTD 1394.

[Aikkhilari]

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by student_of_law</i>If tax payable is zero there is no penalty in viw of the jugdments of Appellate Tribunal reported as 2011 PTD 184, 2010 PTD 1470, 2010 PTD 1394.

<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

Thanks a lot.

Just to give more details, including the following

<b>2011 PTD (Trib) 184 Appellate Tribunal Inland Revenue</b>
<i>
Sections 182, 114 and 120 of the Income Tax Ordinance 2001
</i>

<b>FACTS OF THE CASE</b>
In this case the tax payers furnished return of income declaring loss for
the tax year which has been accepted as deemed assessment order under
section 120 of the Income Tax Ordinance, 2001.

<b>DECISION</b>
The Learned Tribunal after carefully considering the language of section
182 has held that for imposing penalty for default under section 114 of
the Income Tax Ordinance, 2001, the pre-requisite is the “tax payable”.
Fulfillment of basic ingredient of “tax payable” is a condition precedent
for levy of penalty under section 182 of the Income Tax Ordinance, 2001.

Source http://http//www.karachitaxbar.com/image...202011.pdf