FBR Announces Audit of Income Tax Returns of Retailers and Real Estate Tax Filers

The Federal Bureau of Revenue (FBR) has recently announced that it will be initiating. The audit of income tax returns of retailers and real estate tax filers. Nexthome.pk has found in the latest pursuit of the real estate news. That the FBR has warned retailers and real estate tax filers to avoid errors and mistakes in their sales tax filings. The officials say that the revenue board will be Audit of Income Tax Returns of Retailers and Real Estate Tax Filers.

Reason Behind the Audit

The FBR’s decision to audit real estate tax filers is part of its efforts to improve tax compliance and increase tax revenue. Retailers and real estate tax filers are two sectors that have majorly been unaudited with their income and sales tax. The FBR’s audit operation of income tax returns of retailers and real estate tax filers will focus on a number of areas.

Advice For the Real Estate Stakeholders

Nexthome.pk advises the real estate investors, property owners and other stakeholders to consider the following factors.

• Whether you as a taxpayer have correctly declared your income and sales.
• Whether you have paid all of their taxes due.
• Whether you have complied with all applicable tax laws and regulations

The FBR has also tended advice to the retailers and real estate tax filers to carefully review their income tax returns and sales tax filings before submitting. The entries and information filled in should be accurate and complete. The FBR has also urged the taxpayers to keep all relevant records, such as sales invoices and purchase receipts, in case they are audited.

Why is the FBR auditing Retailers and Real Estate Tax Filers

There are a number of reasons mentioned below why the FBR is auditing retailers and real estate tax filers.

• First, these two sectors are known to have high levels of tax evasion and unclarified.
• Second, the FBR is under pressure to increase tax revenue in order to meet its budget targets.
• Third, the FBR is keen to improve tax compliance in general.

What Should Retailers and Real Estate Tax Filers Do

Retailers and real estate tax filers should carefully review their income tax returns and sales tax filings. This will ensure that they are accurate and complete. They should also keep all relevant records. For instance, the sales invoices and purchase receipts, if they are asked to be audited.

Final Words:

If a retailer or real estate tax filer is taken up for an audit. They should cooperate with the FBR auditor and provide all of the requested information. The FBR auditor will review the taxpayer’s records to make a determination. Regardless of whether the taxpayer has correctly declared their income and sales and paid all of their taxes due.