If you have paid more than what you owe to the authorities, then according to section 170 of the Income Tax Ordinance 2001, you can apply for a refund. Going for a tax refund may look complicated.

Nevertheless, checking if you are keeping any funds with the authorities is crucial. By following easy steps and appropriate tools you can get your refund back from the FBR.

Understanding the Tax Refund Process

Tax refunds are reimbursements for the extra tax that is paid when filing. In Pakistan’s taxation system, refund applications are available for salary class and business operators who have paid excessive taxes. Through its online platform, IRIS, the FBR oversees the collection and refund of taxes. Tax types that qualify for a refund include income, withholding tax, and advance taxes. Individuals filing taxes should use IRIS to register their income and document their tax responsibilities.

If the system shows you have paid more tax than required, you qualify for a refund. In this process, you must submit the necessary information to ensure accurate reporting of the taxes and communicate with the FBR regarding the refund request.

How to Claim Your Refund from FBR

Below are the steps mentioned to claim your tax from the FBR.

1.   Filing Your Income Tax Return

All taxes that you have paid must be included when filing. These taxes include withholding taxes on your salary and business transactions. Furthermore, advance taxes paid on mobile bills, banking transactions, property purchases, vehicle registration, and vehicle token tax are also included. 

You might miss these withholding and advance taxes in your paperwork. Therefore, you must check your documents thoroughly and ensure all eligible tax payments are recorded. Properly claiming these taxes may greatly influence your tax return, and you must ensure you get all eligible funds with the FBR.

2.   Checking Your Withholding Taxes 

Withholding taxes are deducted automatically for certain payments.  Verify all taxes you have claimed against your documentation when filing your return. Check that you have the appropriate CPRs or Tax Deduction Certificates before making tax claims for the amounts already paid.

You can only submit income taxes you have already paid. Other types of taxes like sales, property, excise, and taxation cannot be claimed. You can increase your withholding tax refund by properly checking and claiming these taxes.

3.   Accessing the FBR IRIS Portal 

Login to the FBR IRIS portal with your credentials. Access the refund tab, and from there, you can apply for an income tax refund. All information must be accurate before filing.

Attachment of your tax CPRs or Tax Deduction Certificates is required in the attachment section with any other required documents, such as your financial statements and tax payment evidence, to support your refund application.

4.   Submitting Required Documents 

After completing the application, add the necessary documents, such as your tax CPRs, as mentioned above. Next, proceed to the “Profile” area of the FBR IRIS portal, and in your bank details, provide the IBAN for the refund deposit. After you have finished submitting your application, the FBR will assess it.

5.   Contact the Regional Tax Office 

When you submit your documents, contact the relevant officer at the regional tax office (RTO). You can find this information in your profile or through NTN inquiry. Ask the officer to complete your refund order. The officer is authorized to check your documents and bank information at this meeting. Upon confirming your documents, the officer will proceed with the refund process.

Once the officer approves your refund,  it will be forwarded to the FBR office. The FBR office will send your refund to the bank account you provided.

Important Documents Required for the FBR Tax Refund  

To get your tax refund from the FBR, you must provide the following documents:

• Financial Statement: A record showing your holdings and debts. 
• Bank Account Details: Ensure the account is activated and registered with the FBR for direct deposit. 
• Proof of Tax Payments: You need copies of tax challans, withholding certificates, and other tax deduction statements.
• Income Tax Return: Ensure your income tax return includes every income source you receive.

You need these documents to validate your refund request.

How Sidekick Can Help with Post-Filing Assistance  

Sidekick offers extensive help addressing tax refund situations once files are submitted. Tracking refund information is part of our duties, and we also deal with any conflicts with FBR. When you work with Sidekick’s expertise, you will have a straightforward and timely return process.

Common Issues and Tips for a Smooth Refund Process  

Problems like incomplete document submissions and mistakes in the filing process can affect the refund process. Double-check your paperwork and make sure everything is attached while using FBR’s online tools to get accurate results. Ensure you comply with the income tax refund rules. Experts such as Sidekick can also help address refund problems after filing.

Receiving your tax return from the FBR is typically straightforward if you follow these easy-to-follow instructions. Post-filing assistance from Sidekick can simplify the process and ensure you receive your refund without delays.