Field report: This report tracks the relief route the Federal Board of Revenue (FBR) has opened for taxpayers who missed the annual filing deadline and slipped into non-filer status.
The sequence begins with the October 31 deadline. Individuals who did not submit their income tax returns by that date were recorded as non-filers. Under standard tax rules, restoring filer status and entering a name on the Active Taxpayer List (ATL) normally requires payment of a penalty of Rs. 25,000. The FBR has since established an avenue that waives this penalty for eligible late filers.
The legal basis sits in the Finance Act, effective from July 1, under Section 182A, subsection (3). The provision allows a taxpayer to avoid the mandatory surcharge by furnishing a formal undertaking or affidavit addressed directly to the Commissioner. The relief is directed at ordinary citizens, late filers, and newly registered National Tax Number (NTN) holders, including those whose NTN registration came late in the cycle.
A binding condition accompanies the waiver. In exchange, the taxpayer must declare that no immovable property will be purchased for the subsequent six months. Immovable property covers residential houses, commercial buildings, and vacant plots of land. The undertaking must be drafted and printed on Rs. 300 stamp paper, in which the individual commits to the Commissioner to refrain from acquiring any plot, home, or immovable real estate asset for a complete duration of six months. Once the declaration is formally tendered and approved, the name is added to the ATL, conferring the statutory benefits and protections of active filer status.
Breaching the declaration carries direct consequences. If a house, plot, or any immovable property is purchased within the six-month timeframe, the transaction violates the sworn affidavit. The undertaking is then negated and becomes infructuous and void as of the exact date the purchase is executed, the temporary exemption is revoked, and the full Rs. 25,000 surcharge becomes immediately payable.
Submission is handled digitally through the Iris tax portal, so no offline administrative procedure is required. A dedicated feature labeled "ATL-U" (Active Taxpayer List – Undertaking) appears on the taxpayer dashboard. The process involves drafting the declaration on the required Rs. 300 stamp paper, scanning the executed document, and uploading the electronic copy through the ATL-U interface.
From Iris, the document is routed electronically to the relevant Commissioner for review and regulatory verification. Following formal approval, the system updates the applicant's record and includes the name in the ATL without payment of the Rs. 25,000 penalty.
The mechanism amounts to facilitation for everyday taxpayers, particularly new taxpayers who obtained their NTN late or faced unavoidable procedural delays, for whom the surcharge was prohibitive. For anyone currently holding non-filer status after missing the October 31 deadline, the ATL-U feature on Iris provides a direct, legally sanctioned route to active filer recognition.
Contact information
Name: Choudry Mujahid Yasin ( CMY )
Phone: +923224929992 Whatsapp Available