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TAX RETURNS FOR OVERSEAS PAKISTANIS,

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   Atta
Wednesday, October 2, 2019 05:44 PM 
Reply: >
Is it true that Overseas Pakistanis can file returns without their declaring assets i.e., by not filling form 116, as it is voluntary declaration.
Income expenditure can also be shown as zero in form 114.
Any comment?
Expat-1 replied on Thursday, October 3, 2019 04:11 AM 

Yes, as per law overseas Pakistani have the option to file the return without declaring their assets with condition that they don't generate any income from Pakistan (rent, any kind of profit either from plot or from bank etc.). However, when you return back to Pakistan permanently then you will have to declare everything. Therefore, you will have to maintain complete documentation of your remittance, assets etc. So, in other word, you will only be postponing this to upcoming years and ultimately you will have to declare complete details.
Atta replied on Thursday, October 3, 2019 05:02 AM 

Great help Expat-1, thanks. Do you also know if we can put zero-zero against income and expenditure columns when filling out form 114? My overseas friends have done that. They are now officially filers.
Expat-1 replied on Thursday, October 3, 2019 06:29 AM 

No need to fill anything, you can just keep the fields blank because system will accept it and it can submitted successfully.
Atta replied on Thursday, October 3, 2019 07:02 AM 

Can I make partial declaration of assets. For example, I have had a commercial plot since 8 years with no income. Nowadays, I am building a plaza on it. By next year, the construction will be complete. Later on, it will generate taxable income in sha Allah. Is it a good idea to declare that plot now in wealth statement? If I do that, is it also okay not to declare other plots which aren't generating any income? Thanks again for your help.
Expat-1 replied on Thursday, October 3, 2019 07:44 AM 

I don't recommend partial declaration of assets, either declare all at once or just submit NIL return. Moreover, if you are constructing a commercial plaza in posh area (DHA, Bahria etc.) then there are high chances that tax officer may visit the place and inquire if owner is filer or not? Since you are overseas Pakistani, therefore you can justify that as per law it is not mandatory for you to declare assets until you generate income from Pakistan. So, it will be settled eventually (in this case you may have to get services from a tax consultant to give proper reply to the notice served by tax office).
Atta replied on Saturday, October 5, 2019 08:42 AM 

Expat-1, Can I declare all my assets but leave the Income/Expenditure form/fields blank and submit. That will streamline my assets and I will be saved from the hassle of providing all details of income-expenditure for years to come as an expat.
Expat-1 replied on Sunday, October 6, 2019 04:11 AM 

Not recommended.

Either declare everything or just submit Nil tax return for overseas.
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