Overseas Pakistanis are facing uncertainty over the non-resident tax return form for Tax Year 2026. Learn what has been reported, why residency status matters and what taxpayers should check before filing.
Overseas Pakistanis preparing their income tax returns for Tax Year 2026 may need to pay particular attention to the return form available on the Federal Board of Revenue (FBR) IRIS portal.
On 21 September 2026, Business Recorder reported that tax professionals had raised concerns about the absence of a dedicated income tax return form previously available for non-resident Pakistanis.
According to the report, the current IRIS system provides a general return containing a Resident/Non-Resident selection rather than the separate simplified form available in previous years.
The reported change has created uncertainty for some overseas taxpayers who want to complete their Pakistani tax filing correctly.
According to Business Recorder, tax professional Waheed Shahzad Butt, Chairman of the Lahore Tax Bar Association's Public Interest Litigation Committee, submitted a formal complaint to FBR officials.
The complaint highlighted concerns about the absence of the dedicated non-resident return form for Tax Year 2026.
It also requested either restoration of the previous form or official clarification explaining how affected taxpayers should use the current combined return.
The complaint additionally sought a filing-deadline extension for the affected category. These are requests made to FBR, not confirmed decisions or an announced extension.
Simply living abroad does not automatically establish your tax residency status for every tax year.
Under Pakistan's income tax rules, residency is determined through specific legal conditions, including time spent in Pakistan and other applicable circumstances.
For example, the law includes a 183-day presence test and additional residency conditions.
An individual who does not meet the applicable resident criteria is generally classified as non-resident for that tax year.
Overseas Pakistanis should verify their residency status before selecting the relevant option in IRIS.
Not necessarily.
Filing requirements depend on several factors, including:
Tax residency status
Pakistan-source income
Nature of income and investments
Property or business activities in Pakistan
Other applicable filing obligations
Pakistan-source income may include certain rental income from property situated in Pakistan and other income covered by Section 101 of the Income Tax Ordinance.
The treatment of foreign-source income depends on residency, the type of income and applicable legal provisions.
Therefore, overseas taxpayers should not assume that every foreign salary, remittance or bank transfer is automatically taxable in Pakistan.
The reported concern is particularly relevant for non-resident Pakistanis who wish to file voluntarily despite having no Pakistan-source income.
According to the complaint reported by Business Recorder, some overseas Pakistanis file voluntarily for purposes such as maintaining their Active Taxpayer List status or meeting certain documentation requirements.
The complainant warned that uncertainty about the appropriate return could lead to incorrect filing or confusion about compliance obligations.
Taxpayers should verify the correct requirements for their individual circumstances rather than selecting a form based solely on previous years.
If you are preparing your Tax Year 2026 return, consider taking these steps.
1. Verify your residency status
Review your days spent in Pakistan and other relevant residency conditions for the applicable tax year.
2. Review your sources of income
Identify whether you have Pakistan-source income, foreign-source income or both.
3. Check the current IRIS form
Log in to the official FBR IRIS portal and review the available return options and instructions.
4. Avoid submitting incorrect information
Do not select an inaccurate residency status or enter unsupported figures simply to complete the return.
5. Seek clarification if required
If the available form does not appear appropriate for your circumstances, contact FBR or consult a qualified tax professional before submission.
FBR provides online return filing through IRIS and offers taxpayer support through its official helpline.
FBR's published general income tax due-date guidance specifies:
Taxpayer category
General due date
Individuals and AOPs
30 September
Companies
31 December
Companies with a special tax year
30 September
The request for an extension concerning affected overseas taxpayers does not mean that an extension has been approved.
Taxpayers should check FBR's latest official notifications for any changes applicable to their filing category.
Tax filing can become more complicated when you live abroad but maintain financial or property interests in Pakistan.
TaxOrbit can assist overseas Pakistanis with reviewing their tax filing requirements and preparing the relevant documentation.
Our services include:
Income tax return preparation
Tax residency review
Pakistan-source income assessment
Property income tax guidance
ATL status checking
Wealth Statement assistance where applicable
FBR compliance support
Whether you live in the UAE, Saudi Arabia, UK, USA, Canada or another country, our team can help you understand the requirements relevant to your circumstances.
Need help preparing your 2026 income tax return?
Contact our team for professional assistance.
📱 WhatsApp: 0301-6060602
☎ Landline: 021-38547550
✉ Email: taxorbit360@gmail.com
🌐 Website: https://taxorbit.com.pk
Understand your tax status. Prepare accurately. File with confidence.
This article is for general informational purposes only. Filing requirements and tax treatment depend on individual circumstances and applicable law. The reported non-resident form issue was based on information available on 21 September 2026 and may change following further FBR clarification.
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Read MoreGeneral guidance cannot cover every situation. Speak with Tax Orbit's tax consultants about your specific filing position.
