"Are you a filer?" is a question you now hear at the bank, the car showroom and the property office. The answer changes how much tax is collected from you on many everyday transactions. This guide explains what the word really means and the steps to become a filer — and stay one.

What does "filer" mean?

In everyday use, a filer is a person whose name appears on the Active Taxpayers List (ATL) published by the Federal Board of Revenue (FBR). For an individual, getting on the list takes two things: being registered with FBR, and having filed the income tax return for the latest tax year.

Holding an NTN is not enough on its own. Many people are registered but do not appear on the ATL because they have not filed a return.

Why it matters

Advance (withholding) income tax is collected on many transactions — for example certain banking transactions, registering or transferring a vehicle, and buying or selling property. Under current FBR rules, the rates for people who are not on the ATL are higher than for those who are. The rates change with each Finance Act, so we do not list them here.

Filing is also a legal duty for anyone whose income is above the taxable limit and for several other groups named in the law, such as owners of certain property or vehicles.

Step 1: Register on FBR's IRIS portal

IRIS is FBR's online system for registration and returns. To register as an individual you need:

  • your CNIC (NICOP for overseas Pakistanis);
  • a mobile number registered in your own name;
  • an email address that you use;
  • your current address.

FBR sends verification codes to the mobile number and email you enter. Once they are confirmed you receive your login, and your 13-digit CNIC number works as your National Tax Number (NTN). Use your own phone and email: FBR sends notices and codes there, so they should never belong to someone else.

Step 2: Gather your information

Before starting the return, collect the following for the tax year, which runs from 1 July to 30 June:

  • salary certificate, or details of business, rental or other income;
  • bank statements for all your accounts;
  • certificates of tax already deducted from you (bank, mobile, vehicle, property, utilities);
  • details of what you own and owe at 30 June: property, vehicles, bank balances, investments, gold, cash and loans.

Step 3: File your return and wealth statement

In IRIS you declare your income under the correct heads, enter the tax already deducted and complete the wealth statement. The wealth statement lists your assets and liabilities and your personal expenses, and reconciles the change in your net assets with your declared income. If the two do not match, the return should not be submitted until the difference is found.

When you submit, IRIS issues an acknowledgment. For individuals the standard due date is 30 September after the end of the tax year; FBR can extend it, but it is unwise to rely on that.

Step 4: Check your name on the ATL

FBR updates the list periodically, so your name may not appear on the same day you file. You can check your status in two ways:

  • the Active Taxpayers List search on FBR's website; or
  • by SMS: type ATL, a space and your 13-digit CNIC number, and send it to 9966.

If the return was filed after the due date, a surcharge has to be paid to FBR before your name is included, as per current FBR rules.

Staying a filer

The ATL is based on the return for the latest tax year. If you file once and then stop, your name drops off the list. To stay a filer, file your return every year, on time, even in a year when little or no tax is payable.

Common mistakes to avoid

  • Registering with an agent's phone number or email, and losing control of the account.
  • Declaring very low income while your assets or bank balances grow.
  • Leaving out a bank account, vehicle or property from the wealth statement.
  • Submitting a wealth statement that does not reconcile.
  • Ignoring notices that arrive in IRIS after filing.

Need help?

If you would rather have a professional prepare it, our filer status service covers the whole process, and NTN registration is available on its own. You submit your details online, a tax officer prepares the return, and it is filed only after you approve it. You can start your application in about 5 minutes.