Tax experts are forecasting an extension of the deadline for filing income tax returns for the 2024 tax year, originally set for September 30 by the Federal Board of Revenue (FBR).

A senior member of the ICAP Fiscal Laws Committee, Asif S. Kasbati said that individuals and Associations of Persons (AOPs) with a tax year from July 1, 2023, to June 30, 2024, are required to file their returns by September 30, 2024, Business Recorder reported.

However, due to various factors, Kasbati believes that an extension is likely.

Kasbati emphasized the requirements outlined in Section 118, noting that both individuals and AOPs, as well as companies with year-ends between July 1, 2023, and December 31, 2023, must comply with the September deadline.

Drawing from previous experiences, he suggested that a possible extension until October 31, 2024, or a 15-day grace period may be granted.

He criticized the FBR and Pakistan Revenue Automation Limited (PRAL) for missing critical deadlines related to the issuance of return forms, as stipulated in Rule 34A(2)(e), (3), and (4). Draft electronic and manual return forms were supposed to be released by July 1, 2024, but were instead issued on June 21, 2024, more than five months late. Additionally, final return forms, which should have been notified by January 31, 2024, were only issued on July 4, 2024, approximately six months overdue. These forms were subsequently uploaded to the IRIS system by PRAL.

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Kasbati also highlighted that slow internet speeds across the country, particularly in August and continuing into September, have hindered return filing, despite government assertions about digitalization efforts. He noted ongoing issues with the IRIS system, which is expected to experience significant slowdowns from September 27 to September 30—a recurring challenge for taxpayers. The IT system’s problems remain unresolved, further complicating the filing process.