Karachi: The recent extension of the tax return submission deadline to October 14, as ordered by the Prime Minister, has been met with approval from the Korangi Association of Trade and Industry (KATI). This extension is seen as a crucial relief for many taxpayers who were previously unable to file due to technical issues.

According to Korangi Association of Trade and Industry, the new deadline was introduced following system outages that prevented timely submissions. KATI’s newly elected President, Junaid Naqi, expressed gratitude toward Prime Minister Shahbaz Sharif for responding to the calls from various business communities and tax associations for more time. This move is viewed as a key support for businesses aiming to meet compliance obligations without penalties.

President Naqi also highlighted the current fiscal challenge faced by the Federal Board of Revenue (FBR), noting a shortfall of 87 billion rupees from its targeted tax collection of 2,539 billion rupees. The extension is anticipated to help bridge this gap. Additionally, Naqi appealed to the FBR Chairman to address ongoing issues with the IRIS system, which have affected the filing process. He stressed the importance of system improvements to ensure uninterrupted tax return submissions in the future.

The business leader further remarked on the potential for this extension to aid in expanding the tax base, provided that the government simplifies the return submission process, thus encouraging higher compliance and broadening fiscal resources.