FBR's strict measures, filing returns mandatory for couriers, digital platforms

Islamabad: To make e-commerce monitoring effective, the Federal Bureau of Revenue (FBR) has made it mandatory for couriers and digital platforms to file returns.

According to a media report, the FBR has further tightened compliance protocols and imposed a ban on the filing of quarterly returns on couriers and payment intermediaries, who are responsible for collecting or deducting withholding tax.

The revenue authority has issued draft amendments to the Income Tax Rules 2002 through SRO 1634 of 2025, which will be finalized after receiving feedback from stakeholders.

The proposed protocols will apply only to domestic e-commerce entities and couriers.

Under the proposed amendments, any courier or payment intermediary who is required to collect or deduct tax under Division 2 or Division 3 of Part 5 of Chapter 10 or Chapter 12 of the Ordinance shall be required to submit quarterly statements in accordance with sub-clause 2 of section 165 and sub-clause 1 of section 165C.

These statements shall be submitted electronically in the formats prescribed in Part 10 of the Second Schedule to the Rules.

The last dates for submission of returns have been fixed as April 20 (ending March 31), July 20 (ending June 30), October 20 (ending September 30), and January 20 (ending December 31).

In a parallel move to make monitoring of digital commerce more effective, the FBR has also imposed a monthly reporting requirement on online marketplaces, which handle goods and services ordered digitally.

As per sub-clause 2 of section 165C, digital platforms will have to submit monthly detailed statements containing the transactions and aggregate data of registered sellers.

Further, if an online marketplace provides courier services, it will also have to submit statements under sub-rule 2 of rule 44, which is attached to Part 10 of the Second Schedule.

The FBR has clarified that these statements will be submitted in two specific formats: Form A1 and Form A2.