Individual Income tax return means submission of return of annual income in the prescribed form to the Deputy Commissioner of Taxes (DCT) of respective individual taxpayer’s circle of NBR by a person.

Who is bound to file income tax return?

In some Condition, individual tax payers must obtain TIN Certificate and file the tax return to DCT. Whose total income during the respective income year exceeds the maximum limit which is not-chargeable to tax under the Income tax ordinance, 1984 or if he was assessed to tax for any one of the last three proceeding year. Or
Resides within the specific limits of a city corporation or a paurashava or a divisional headquarters or district headquarters and who at any time during the relevant income year fulfills any of the following conditions:
i) Owns a motor vehicle
ii) Being a member of registered club which registered under VAT Act, 1991
Or
His or her basic salary exceeds Tk. 16,000 any time within a year in case of a Govt. Employee or corporation, or
Operating any business or profession having trade license from a city corporation, a pourashava and operates a bank account.
Or
registered with a recognized professional body as a chartered accountant, cost and management accountant , doctor, dentist, lawyer, income tax practitioner , engineer, architect or surveyor or any other similar profession,
Or
Member of a chamber of commerce and industries or a trade
Association; or
He or she is a partner of any Partnership business.’ or
He or She is a Shareholder director of a company
Or
Member of a chamber of commerce and industries or a trade
Association; or
A candidate with an office of any paurashava, city corporation,
or a Member of Parliament;
or
A participate in a tender floated by the government, semi government, autonomous body or a local authority; or
Any non government organization registered with NGO Affairs bureau.

Time limit to submit the return and supporting documents

An individual must file tax return within 30th November with all related supporting documents. An individual can follow two procedure to file the return one is universal self assessment procedure and normal procedure. If anyone follows the universal self assessment procedure ,they must have 12 digit Tax Identification Number (TIN). Both procedures have their own merits and demerits.

Generally, an individual tax payer file return in the form of – IT 11 GA with the description of asset and liability in form of 10BB including all supporting documents such as bank statements, salary statement, Treasury challan of TDS . If the individual has house property income then they must submit the house rent agreement, Copy of deposit slip of rent. Business individual must submit the income statement and balance sheet. For the salaried person whose only income is salary can file the return in the form of IT-11 UMA with the supporting of salary certificate, TIN, TDS documents and Bank statements. A business individual or professional individual’s income can file the return in the form of IT- 11 CHA if his or her income not more than 3 lac. If any taxpayer claims the investment rebate then he should fill up the schedule 24D and attached the copy documents with return.

Punishment

An individual deemed to be guilty of an offence, if s/he, without reasonable cause fails to furnish the return of income or delay in furnishing within time. Beside this, the DCT may impose fine Tk. 10% from the last assessed amount but not less than Tk. 1000 and also impose fine Tk. 50 each day further delay. DCT may impose penalty of Tk. 5,000 if he or she was not assessed earlier. In addition, if a person fails to income tax return within 30th November they have to pay 2% interest on current assessed income, even though applying for time extension for reasonable clause.

The collection of revenue from an individual is the legal right of the government to survive and develop the county. Every individual must submit tax return and pay income tax within 30 November, if his or her income exceeds the taxable limit or the person bound to file return within the scope of Income Tax Ordinance, 1984 to escape from penalty and honor the Country law.