Filing sales tax returns is a legal obligation for registered businesses in Pakistan. Whether you’re a manufacturer, retailer, service provider, or importer, understanding how to file your sales tax return is essential for staying compliant and avoiding penalties.

Here’s a complete breakdown of the sales tax return filing procedure in Pakistan.

📌 Who Needs to File Sales Tax Returns?

You must file sales tax returns if you are:

• Registered with the Federal Board of Revenue (FBR) under the Sales Tax Act, 1990

• A sales tax registered business, including retailers, manufacturers, wholesalers, importers, and exporters

• A service provider registered under provincial revenue authorities (in some cases, federal filing is also required)

🧾 Documents and Information Required

Before filing, make sure you have:

• FBR Sales Tax Registration Number (STRN)

• CNIC of the business owner or authorized person

• Login credentials for the IRIS portal

• Monthly sales and purchase data (invoices)

• Input tax and output tax calculations

• Debit/credit notes (if applicable)

• Import/export documents (if applicable)

📆 When to File Sales Tax Returns?

Sales tax returns are filed monthly, and the due dates are:

• 15th of every month for submitting Annexures

• 18th of every month for submitting the full return and payment

📋 Step-by-Step Procedure to File Sales Tax Return

Step 1: Log into FBR IRIS System

• Visit the FBR IRIS portal

• Enter your username and password

• Go to the "Declaration" tab

Step 2: Fill Annexures

You need to enter data in several annexures before the main return can be submitted:

• Annex-A: Purchases (input tax)

• Annex-B: Sales (output tax)

• Annex-C: Imports

• Annex-D: Export (if any)

• Annex-H: Stock statement (required for refunds or carry-forwards)

After filling, verify and submit each annexure.

Step 3: Reconcile Input and Output Tax

• Check for mismatches between purchases and sales

• Adjust any credit notes, debit notes, or advance tax payments

• Verify total tax payable or refundable

Step 4: Generate and Submit Return

• Once annexures are submitted, generate the main return

• Review and verify the data

• Submit the return on IRIS

Step 5: Make Payment

• Generate a payment challan (CPR) if tax is payable

• Pay through bank, online banking, or ATM using PSID

• Submit proof of payment in IRIS (automatically fetched in most cases)

✅ After Submission: What to Do

• Download and save your Acknowledgement Receipt

• Keep copies of sales and purchase records

• File rectification if needed within the allowed period

⚠️ Common Mistakes to Avoid

• Late submission (penalties apply)

• Incorrect STRN or invoice numbers

• Mismatched figures between annexures

• Ignoring reconciliation errors

• Not updating CNICs or supplier registration info

📚 Tips for Easier Filing

• Use a tax consultant if you're unfamiliar with the portal

• Maintain monthly records regularly

• Use FBR-approved accounting software to automate reporting

• Ensure all suppliers are also FBR-registered for input tax credit

📌 Conclusion

Filing a sales tax return in Pakistan might seem complex at first, but with a proper system in place, it becomes routine. Staying timely and accurate not only keeps your business compliant but also helps you claim input tax credits and avoid legal complications.