FBR Clarifies Criteria for Active Taxpayer Status 2025 – Latest Update from Islamabad
ISLAMABAD: The Federal Board of Revenue (FBR) has officially clarified the criteria for determining active taxpayer status for 2025, confirming that the Active Taxpayers List (ATL) will be based on income tax returns filed for the tax year 2024.
The clarification comes amid reports claiming that a large number of taxpayers had been declared inactive. The FBR dismissed these reports as “baseless and misleading,” stating that all individuals and companies who filed their 2024 returns or validly requested extensions are already included in the ATL.
FBR Dismisses Rumors About Inactive Taxpayers
According to the official statement, taxpayers who filed extension requests within the prescribed time have automatically been added to the ATL. The FBR emphasized that no genuine filer has been marked inactive, and that all validly filed returns remain active in the system.
The ATL for 2025 will include every taxpayer — individual, company, or association — who has submitted their income tax return for 2024. In addition, newly registered filers who submit their returns by November 15 will also be included in the 2025 list.
Extension Granted for Late Filers
The FBR confirmed that taxpayers who applied for filing extensions have been given an additional 15 days to complete their returns. The extension aims to facilitate individuals who faced technical issues or delays during the filing process in October.
WhatsApp ChannelTaxpayers who have not yet filed can still apply for an extension online through the Iris portal by November 15, 2025. After that date, only those with valid extension approvals will be considered for ATL inclusion.
Shift to a Fully Digital System
As part of recent amendments to Pakistan’s income tax rules, the FBR has permanently discontinued manual return submissions. All returns must now be filed electronically through the official online system.
The department added that manual filers from previous years will be given a one-month transition period to move to the digital filing platform. This shift, the FBR said, is part of a broader effort to make the tax system more efficient, transparent, and accessible.
The move is expected to reduce paperwork, minimize human error, and improve data accuracy across the board.
Significant Rise in Tax Return Filings for 2025
In a separate announcement, the FBR reported a record surge in tax return filings for Tax Year 2025, reflecting improved compliance and growing taxpayer awareness.
As of October 31, 2025, the FBR has received 5.9 million income tax returns, up from 5 million returns filed during the same period last year — marking a 17.6 percent increase.
Out of these, 3.6 million taxpayers submitted returns along with tax payments, an 18.6 percent jump compared to 2024. The data also shows that individual taxpayers contributed PKR 9 billion more in taxes this year, rising from PKR 60 billion to PKR 69 billion, representing a 15 percent increase in payments.
FBR Appreciates Growing Public Cooperation
The FBR praised the growing participation of citizens in Pakistan’s tax network, noting that the steady rise in voluntary compliance is a positive indicator for the country’s fiscal health.
The department reaffirmed its commitment to facilitating honest taxpayers through digital tools, simplified filing systems, and responsive communication. It also reiterated that all processes, including return submission and ATL inclusion, are now managed electronically to ensure fairness and transparency.
What the Clarification Means for Taxpayers
For ordinary taxpayers, the latest FBR clarification means that:
- Those who filed 2024 returns are automatically part of the 2025 ATL.
- Those who requested extensions within time are also considered active.
- Newly registered individuals can still file by November 15 to be added.
- Manual filing is no longer valid — only e-filing through the FBR portal will be accepted.
Taxpayers are advised to verify their ATL status once the updated list is published in early 2025 on the official FBR website.
Conclusion
The FBR’s latest clarification brings much-needed transparency and relief to millions of taxpayers across Pakistan. By confirming that active taxpayer status for 2025 will depend solely on returns filed for the tax year 2024, the authority has dispelled confusion and reaffirmed its commitment to digital modernization.
With over 5.9 million returns already filed and record tax contributions this year, the trend suggests growing trust and compliance among Pakistani taxpayers — a promising sign for the country’s economic progress.
