Living abroad as a Pakistani can feel like straddling two worlds enjoying the perks of a new country while still keeping ties to home. But when tax season rolls around, things can get a bit tricky. If you’re a non-resident Pakistani, you might be wondering: Do I still need to file income tax in Pakistan? How do I even start?
Don’t worry I’ve got you covered. Here’s a friendly, step-by-step guide to help you navigate the process like a pro.
Who Counts as a Non-Resident Pakistani?
First things first, let’s figure out if you’re actually a non-resident in the eyes of Pakistan’s tax system. According to the Income Tax Ordinance 2001, you’re considered a non-resident if:
- You’re physically present in Pakistan for less than 183 days in a tax year (which runs from July 1 to June 30), and
- You’re not employed by the Pakistani government.
If you’ve been living abroad for work, study, or family and don’t meet this threshold, congrats—you’re officially a non-resident! But that doesn’t mean you’re completely off the hook when it comes to taxes. If you earn income from Pakistan—like rental income from property, dividends from investments, or business profits—you’ll likely need to file.
Step 1: Get Your NTN (National Tax Number)
Before you can file anything, you need your NTN (CNIC): a National Tax Number (NTN). Think of it as your tax ID in Pakistan. If you don’t already have one, here’s how to get it:
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- Visit the Federal Board of Revenue (FBR) website at fbr.gov.pk.
- Head to the “e-Registration” section and sign up for an account.
- Fill out the online form with your details—CNIC (Computerized National Identity Card) number, address (even your overseas one), and contact info.
- Submit it, and you’ll get your NTN via email within a few hours.
If you’ve ever filed taxes in Pakistan before, you might already have an NTN. Double-check with the FBR helpline or dig through old records to avoid duplicates.
Step 2: Understand What Income Is Taxable
As a non-resident, Pakistan won’t tax your global income They’re only interested in what you earn from Pakistan. Common examples include:
- Rental income: That apartment in Karachi you’ve been renting out? Taxable.
- Dividends: Shares in Pakistani companies paying out? Taxable.
- Business profits: Running a side hustle with roots in Pakistan? Taxable.
Your salary from a job abroad or income from foreign investments? That stays out of Pakistan’s tax net. But keep records handy—sometimes the FBR likes to double-check.
Step 3: Gather Your Documents
Filing taxes is all about paperwork (or digital files, these days). Here’s what you’ll need:
- Your NTN and CNIC, now the CNIC is the NTN for individuals.
- Proof of income from Pakistan (e.g., rental agreements, bank statements showing dividends, or business income records).
- Details of any taxes you’ve already paid in Pakistan (like withholding tax deducted by your tenant or bank).
- Your overseas address and contact info.
If you’ve got a tax consultant or family member in Pakistan helping out, share these with them too.
Step 4: Log Into the FBR IRIS Portal
Pakistan’s tax system has gone digital, and the IRIS portal is where the magic happens. Here’s how to get started:
- Go to iris.fbr.gov.pk.
- Log in with your NTN and password (set this up during e-Registration if you haven’t already).
Once you’re in, you’ll see a dashboard with options like “Declarations.” This is your command center for filing.
Step 5: File Your Income Tax Return
Now, let’s get to the actual filing:
- Select the Right Form: For non-residents, you’ll usually use the “Income Tax Return for Non-Resident Pakistan-Origin Person Having no Source of Income in Pakistan” The system auto-selects based on your status, but double-check.
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- Slect the Year which needs to be tax to be filed.
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- If you have filed the income tax before in the ealier years , you can simply click on the import previuos Return.
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- Enter Your Taxes Details: Input all taxable income from Pakistan. Be precise—mistakes here can lead to notices from the FBR.
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- Enter the tax details if you have purchased the property in the Pakistan.
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- Claim Withholding Tax: If tax was already deducted at source (e.g., 15% on rental income), mention it here to avoid double taxation.
- Calculate Your Tax: The portal does most of the math, but review it. Non-residents pay tax at fixed rates ike 15% on rentals or 15% on dividends (as of 2025, but rates can change), here is well organised FBR income tax calculator , to calcualte the income taxse.
- Fill the Wealth Statemnt, and enter the foreign remitance, bank deposit money , etc.
- Submit: Hit that submit button and breathe a sigh of relief.
Step 6: Pay Any Tax Due
If your calculations show you owe tax beyond what’s already been withheld, pay it through:
- A bank in Pakistan (ask a trusted friend or family member to deposit it using the Challan).
- Online payment via the IRIS portal if your bank abroad supports it.
Deadline alert: The tax return is usually due by September 30 for the previous tax year (July 1–June 30). Late filing can lead to penalties.
Step 7: Keep Records and Stay Compliant
Once filed, download your return receipt from IRIS and store it safely. The FBR might ask questions later, especially if you own property or have significant income streams. Also, if your status changes (say, you move back to Pakistan), update your profile with the FBR.
A Few Extra Tips from One Pakistani to Another
- Hire Help if Needed: If this feels overwhelming, a local tax consultant in Pakistan can handle it for a small fee. Many cater to NRPs (Non-Resident Pakistanis) and can file remotely.
- Double Taxation Treaties: Pakistan has agreements with countries like the UAE, UK, and US to avoid taxing the same income twice. Check if your country applies and claim relief if needed.
Filing income tax as a non-resident Pakistani might seem daunting at first, but once you get the hang of it, it’s just another part of adulting abroad. You’re not just ticking a box—you’re staying connected to your roots, keeping things legit back home. So grab a cup of chai, log into IRIS, and take it one step at a time. You’ve got this!
Share this artcile to your friends or family memebr who is strugllign to file the income tax returns as non-resident pakistani in the Pakistan.
Frequently Asked Questions: Filing Income Tax as a Non-Resident Pakistani
Who is considered a non-resident Pakistani for tax purposes?
A non-resident Pakistani is someone who spends less than 183 days in Pakistan during the tax year (July 1 to June 30) and is not employed by the Pakistani government. If you live abroad and meet these criteria, you’re a non-resident.
Do non-resident Pakistanis need to file income tax?
Yes, but only if you earn income from Pakistan, such as rental income, dividends, or business profits. Income earned abroad, like a foreign salary, is not taxable in Pakistan.
How do I get a National Tax Number (NTN) as a non-resident?
You can get an NTN by registering on the Federal Board of Revenue (FBR) website at fbr.gov.pk. Go to the e-Registration section, fill out the form with your CNIC and overseas address, and submit it. You’ll receive your NTN via email.
What income is taxable for non-resident Pakistanis?
Only income sourced from Pakistan is taxable, such as rental income from property, dividends from Pakistani companies, or profits from a business operating in Pakistan. Your foreign earnings are not taxed by Pakistan.
How do I file my income tax return as a non-resident?
Log into the FBR IRIS portal at iris.fbr.gov.pk with your NTN, select the individual tax return form, enter your Pakistan-sourced income, claim any withheld taxes, calculate the tax owed, and submit. Pay any dues by the deadline, usually September 30.
What happens if I miss the tax filing deadline?
If you miss the deadline (typically September 30), you’ll face penalties from the FBR. It’s best to file on time or hire a tax consultant to avoid extra costs.
Can I avoid double taxation as a non-resident Pakistani?
Yes, Pakistan has double taxation treaties with countries like the UAE, UK, and US. Check if your country has an agreement with Pakistan and claim relief on your tax return if applicable.