How to Register for Your NTN in Pakistan?

If you’re generating an income in Pakistan, you are bound to pay certain taxes to the government. New entrepreneurs, salaried persons and even stable business owners should have a good understanding of the local, state and federal taxes that they are obligated to file. These taxes include sales, income, excise, property and employment taxes etc. However, for filing your taxes, you should register yourself as a taxpayer and for that you need a National Tax Number most commonly known as the NTN.

What is NTN?

As defined by the Federal Board of Revenue (FBR), an individual either salaried or a business person (who earns a certain amount of money) is obligated to pay taxes at the end of each year. This is done by registering yourself as a taxpayer in the FBR and an NTN number is required for this registration. Thus, NTN is described as a unique identification (ID) allotted by the FBR to run any taxable proceedings either salaried or business transactions. 

Who should get it?

People in Pakistan are often confused if they are liable to get an NTN or not. Following are some details which will help in clarifying who should get it:

Any individual whose earnings fall within the taxable income bracket as defined by the FBR is required to get his/her NTN and any individual whose annual income is Rs.600,000 or more is legally responsible to pay and file the income tax returns and for that he/she needs an NTN.

Why is it important?

You’re required to have your NTN for a lot of things. If you’re a businessman, you need it for opening your business bank account. It is mandatory to have an NTN for filing income tax, sales tax, property tax and federal excise etc. For salaried individuals, the designated NTN number is generated by the employer from the FBR. In short, you need an NTN to carry out all the financial transactions in the country and irrespective of your profits or earnings; you’re obligated to file the annual tax returns in the FBR.

How to get it?

Gone are the days when you had to visit the FBR office to register your NTN. Now the entire procedure of acquiring your National Tax Number is online. It is a simple process and you can easily do it by following the simple steps mentioned in this article later. ‍

Documents Required for the NTN Registration of Salaried Individuals

If a salaried person intends to register himself/herself for an NTN, he/she should submit the following documents to the FBR:

• Photocopy of valid Computerized National Identity Card (CNIC)
• Genuine email address along with contact numbers (landline and mobile)
• Most recent pay slip
• Valid NTN, email address and address of the registered office or location of the employer
• Photocopy of electricity bill (paid) of the person’s house. The bill shouldn’t be older than three months.
  

Documents Required for the NTN Registration of Business People

If a business person intends to register himself/herself for an NTN, he/she should submit the following documents to the FBR:

• Photocopy of valid Computerized National Identity Card (CNIC)
• Blank letterhead of the business
• Genuine email address along with contact numbers (landline and mobile)
• Photocopy of electricity bill (paid) of the business office or location. The bill shouldn’t be older than three months.
• A short description of the business run by the said person.
• If the business location is rental then rent agreement (in print on a two hundred rupees stamp paper) or ownership documents if the property is owned by the said person.
• Partnership deed if there are more than one owners of the business.

Steps to Register your NTN

In order to get your NTN, you should make your account on the official FBR website. The online process is pretty much simple. Let us guide you through the following steps:

1. To begin the process, log on to the official FBR website: https://iris.fbr.gov.pk/public/txplogin.xhtml where you will see various options.

1. Click on the green tab that says “Registration for Unregistered Person”.
2. Now a new page will come up on your screen where you will see a form. Just fill in all the required info like Name, email address, contact numbers, CNIC, address etc.

1. When you’re done with filling in the form with all the required information, tap on the submit button which is right at the bottom on this page. After this you will receive a six digit code on your provided email address and mobile number.
2. Enter this code and again click on the submit button. Once verified, FBR will send you an ID and password through email or SMS. You have now successfully created your account. Now go back to the main screen and log on again using your ID and password.
3. After signing in to your account, click the “draft” option and an application form will appear on your screen.
4. Now clicking the “edit” button will show you various tabs such as business, link, personal, property, bank account and attachment tabs.
5. Complete the registration form by providing relevant and valid information. If you’re an employee then you’re required to enter your employer’s NTN plus you have to leave out the bank and business tabs as they are meant for business individuals only. Click on submit to finish the registration process. Don’t forget to recheck your form thoroughly and attach the required documents (mentioned above in this article).
6. Congratulations! You have now registered for your NTN.

These online steps are the most easiest to get your NTN from the Federal Board of Revenue Pakistan. Many people also opt for the offline option for their NTN; however that is quite a hassle. Any person going for the offline process for their NTN registration is required to appoint a tax consultant first. On the other hand, with this online option, anyone in Pakistan can register themselves easily and get their NTN.

People in Pakistan are mostly hesitant to file their taxes because they are not aware of the benefits they can enjoy that our government offers to its active taxpayers such as:

• Banks deduct less tax on cash and profits withdrawals
• Withholding tax is also reduced
• Lower tax rate on selling and buying property
• Lower withholding tax rate on winning prize bonds
• Overpaid tax can be claimed back

These are just a few advantages. Paying your taxes on time makes you a responsible citizen who becomes a part of the country’s progress. The present government is critically dealing with non-tax payers. So, become a good citizen of Pakistan and register for your NTN today.