Withholding tax statement in Pakistan: who must file and when

If you deduct or collect tax when you pay someone, you must file a withholding statement on IRIS, and you must file it even for a quarter in which you deducted nothing. Section 165 sets the date at the 20th of the month after each quarter ends. The July to September 2026 statement was due on 20 October 2026, and the next one is due on 20 January 2027.

Last updated . Rules and rates change with each Finance Act; confirm on the official site linked in this guide.

Who has to file a withholding tax statement?

Anyone who is required to deduct or collect income tax from payments to others. In practice that means companies, AOPs, government offices and business owners who pay suppliers, contractors, rent, salaries or professional fees that are subject to deduction. The rules on which payments are caught sit in sections 148 to 156 and others of the Income Tax Ordinance, and the list changes with each Finance Act.

The statement is filed under section 165 on IRIS. If your business pays for services or contracts, check your payments against that list before you assume you do not need to file.

When is the withholding statement due?

The Ordinance, as amended up to 30 June 2026, asks for a statement for each quarter, due by the 20th of the month after the quarter ends. That gives four dates a year.

Withholding statement dates
QuarterDue date
July to September20 October
October to December20 January
January to March20 April
April to June20 July

Some business websites still describe a monthly statement due on the 15th. That was the older rule. If the schedule shown in your IRIS account is different from the table, follow IRIS and ask us if you are not sure why.

What goes into the statement?

It is payee by payee. For every person you paid, you report their CNIC or NTN, the amount paid, the section under which you deducted, the tax you deducted and the tax you deposited. FBR matches your statement with what payees show in their own returns, so a wrong CNIC or a missing line causes trouble later for them and for you.

Do you still file if you deducted nothing?

Yes. The law requires the statement even when no tax was collected or deducted in the period. A nil statement filed late still attracts a penalty, so do not skip it.

Filing the statement is not the same as paying the tax

Depositing the tax you deducted is a separate step with its own deadline, which is normally earlier than the statement date. A common mistake is to file the statement and assume the tax has been paid. Deposit first, keep the payment slip, then file.

How do you file it on IRIS?

  1. List every deduction for the quarter with the payee's CNIC or NTN and the section used.
  2. Check that the tax you deposited matches the tax you report.
  3. Log in to IRIS and open the withholding statement for the right tax year and quarter.
  4. Enter or upload the payee records and review the totals.
  5. Submit it and save the acknowledgment.

What is the penalty for filing late?

Section 182 sets the penalty. Where the tax was deposited on time and the statement is filed within 90 days of the due date, it is Rs 50,000 (this was Rs 5,000 before the Finance Act 2025). In other cases it is Rs 2,500 for each day of default, with a minimum of Rs 10,000. Confirm the current figure in the Ordinance on FBR's website before you act on it. If you have already received a notice, see FBR notice reply and tax audit support.

Questions people ask about withholding tax statement

Is the withholding tax statement monthly or quarterly?

Under section 165 as amended up to 30 June 2026 it is quarterly, due by the 20th of the month after the quarter ends. Older guides that say monthly on the 15th are out of date.

What is the deadline for the withholding statement for October to December?

20 January. The July to September statement was due on 20 October 2026.

Do I file a withholding statement if I did not deduct any tax?

Yes. A statement is required even when nothing was deducted. Filing it late still carries a penalty.

What is the penalty for a late withholding statement?

Rs 50,000 if the tax was paid on time and the statement is filed within 90 days of the due date, otherwise Rs 2,500 a day with a minimum of Rs 10,000. Check the current section 182 text before relying on it.

Does filing the statement pay the tax?

No. Deposit the tax separately and keep the payment slip. The statement only reports what you deducted and deposited.