Filing your tax at year end is a compulsion for every citizen of Pakistan. Those who fail to do so receive a section 114(4) notice from the FBR. Have you received one?
Don’t worry, this article will talk about the 114(4) notice in detail.
Understanding Section 114(4) Notice?
Section 114(4) is sent to those individuals that have not paid their taxes before the tax filing deadline. If you are still not on the active taxpayer list on the FBR website, then you will receive this notice.
When Do You Receive a Section 114(4) Notice from FBR?
Section 114(4) notice is received from the FBR if you have not filed your tax before the tax filing deadline. This usually happens when a person is a categorized non-filer, though even a tax filer can get this notice if due to some inconsistency or inaccuracies reported in his return.
Meeting the tax filing deadline avoids penalties and maintains legal standing with smooth reporting of all your activities.
Why Did You Get a Section 114(4) Notice from FBR?
The Section 114(4) notice is issued for any one of the following reasons. Firstly, you have failed to present your income tax return within the due date. Secondly, the FBR may have wanted to cross-check or verify your income and tax position for any given year.
Another reason could be that FBR identifies discrepancies in your financial information from other sources. Finally, a few might get this notice if they are randomly selected for tax compliance checking.
How to Respond to a Section 114(4) Notice
When a notice 114(4) is received, check the details the FBR provided. A deadline would also be mentioned while gathering the required documents. As proper income tax filing can be done with the help of a professional Income Tax Filing Service. Therefore, file the return as soon as possible so that no delay or penalty is imposed..
If you need it, use post-filing assistance to handle things after filing. In this case, timely and accurate filing will save you from legal troubles and ensure your taxes are paid on time.
The Importance of Timely Tax Filing
Filing within the deadline helps adhere to FBR regulations. This helps you get filer’s advantages, including reduced taxes and fewer penalties. Suppose you do not pay your tax or evade payment. In that case, you may be charged heavy fines besides facing legal cases against you, and your financial credibility will also decline.
You can use sidekick tax paying services to file your taxes and simplify the process. This can save you from a lot of complications.
How to Avoid Future Notifications from FBR
Here’s how you can avoid future notifications from FBR
- Stay ahead of FBR notifications: You can remain ahead of deadlines for tax filings every year to submit your returns in time and thus avoid future notices from the FBR.
- Mistake-Free Filing: Professional tax filing services will clear your mind from mistakes and ensure you have all the legal requirements fulfilled for filing.
- Tax Awareness Counts: If you know your tax obligations, you are always on the right side of the law and are unlikely to get unwelcome surprises.
- Clean Books: Monitoring your finances through books and adequate bookkeeping may prevent you from violating the laws and incurring any penalties.
- Compliance is the Key: Tackling your taxes head-on does more than keeping to the law; it also readies you for further success in finance.
How Sidekick Can Help with Section 114(4) Notice
Sidekick Tax Services provides professional help in filing tax returns and replying to FBR notices, such as notice 114(4). Our professional team here ensures the proper filing of taxes and timely submission.
We strictly adhere to tax obligations, hence not letting the taxpayer face tax penalties. Sidekick also provides post-filing assistance and continuing taxpayer support for financial credibility.
Conclusion
Section 114(4) notice should be addressed immediately to avoid penalties and maintain sound financial credibility. On-time tax filing would ensure compliance and reflect financial responsibility.
