The National Tax Number (NTN) is a unique identification number in Pakistan issued by the Federal Board of Revenue (FBR) to meet tax obligations. This number can be obtained by any person or entity that is liable to pay tax under income tax laws. NTN is not only important in tax matters but also important in availing of financial services, opening bank accounts, and other legal matters. In this post, we will discuss in detail the NTN registration procedure, the documents required, and its importance.
Importance of National Tax Number (NTN) and How to Enroll
National Tax Number, commonly known as NTN, is a unique number issued by the Federal Board of Revenue (FBR). FBR is the highest tax authority in Pakistan. Every person who is liable to pay tax under the Income Tax Ordinance 2001 must register with the FBR. According to Section 114(1) of the Constitution, the categories of persons who are required to be registered with the FBR are listed. Following are some of the persons whose details are provided in ITO 2001:
- Each individual business
- Every company
- Every Association of Persons (AOP)
- Every Non-Governmental Organization (NGO) or Non-Profit Organization (NPO)
- Salaried persons having an annual income of Rs.400,000/- or more
- Every professional who is registered with an association, council or other registering authority, such as an engineer, doctor, lawyer, etc.
- Own a 1000cc car
- Owner of a flat or house of 5 marla
- Other persons
In recent times, FBR has made the registration process very easy for anyone who wants to register with FBR. Now personal appearance before FBR is not mandatory at all. The process of getting NTN is now very easy.
How to Register for NTN
Are you looking to register with FBR and want to know about NTN issuance procedure?
You have to open the FBR IRIS portal through the internet and click on “Registration for Unregistered Persons”. Enter your personal details and tap on the “Submit” option that appears at the end. Once you have submitted the information, you will receive a password to access your FBR Iris account. In the draft, you will find the pre-existing Form 181. Add your personal information like bank and property details in this form. Submit the form once completed and your NTN will be registered within minutes.
It is important to enter all the required information carefully as an incomplete form may lead to a penalty as per recent amendments in tax laws by FBR.
Registration Steps for NTN
Obtaining a National Tax Number (NTN) in Pakistan is an important process that you need to do business legally and meet tax obligations. This number is issued to you by the Finance Division, Federal Board of Revenue (FBR). This process can be done online, which is very easy and convenient. In this article, we will provide you with the details of the registration steps for NTN, so that you can complete the process easily.
Step 1: Visit the FBR website
First, you need to visit the official website of the Federal Board of Revenue. For this, click on this link: FBR Website. Here you will see different options.
Step 2: Select Registration for unregistered persons
On the website, you will see a green tab that says “Registration for Unregistered Person”. Click on it. After that a new page will open on your screen where you will see a form.
Step 3: Complete the form
Now you have to provide all the required information in this form, like your name, email address, contact numbers, identity card number (CNIC), and address etc. This information is required to be provided so that FBR can process your application correctly.
Step 4: Submit the form
When you are done filling out the form, click on the “Submit” button below. A six-digit code will then be sent to your provided email address and mobile number.
Step 5: Verify the code
Enter the code you received and click the “Submit” button again. When this code is entered correctly, FBR will send you an ID and password via email or SMS. Now you have successfully created your account.
Step 6: Log in again
Now you have to go back to the main screen and log in again using your ID and password.
Step 7: Access the application form
After logging into your account, you need to click on the “Draft” option. After that, an application form will appear in front of you.
Step 8: Complete the form information
After clicking on the “Edit” button, you will see different tabs, such as Business, Link, Personal, Property, Bank Account and Attachment tabs.
Here you have to provide relevant and accurate information. If you are an employee, you have to enter your employer’s NTN and skip the Bank and Business tabs, as these are reserved for entrepreneurs.
Step 9: Submit the application
After filling all the information, check the form again so that no mistakes are left. After that attach the required documents (mentioned earlier in this article) and then click on “Submit” to complete the registration process.
Step 10: Verification
After completing the registration, you will get a confirmation of your application from FBR. If everything is found correct, you will receive NTN, which will act as your identification number.
Documents Required for NTN Registration for Salaried Persons
- Copy of CNIC
- Mobile number and email address
Documents Required for NTN Registration for Business Entity
- Copy of CNIC
- Copy of the business’s most recently paid electricity bill
- Copy of rental agreement or ownership documents
- Mobile and email address
- Nature of business
- Stamped letter cover
- Any other documents that may be required by FBR
The expert lawyers of Law Associates have so far registered many people with FBR and got them NTN immediately. We are the most professional and reliable law firm in Lahore for FBR-related matters. Not only is your information safe and secure with us, but you are also issued NTN from the comfort of your home.
Significance of NTN
Obtaining a National Tax Number is the responsibility of every citizen who can pay taxes. With the help of NTN, it becomes easier for the government to use various services, such as opening bank accounts, taking loans, and participating in other financial transactions.
Many people don’t know that NTN is not only important for tax obligations, but it also shows your financial status. When your NTN is active, it shows that you are a responsible citizen who understands your financial obligations and is trying to meet them.
Using NTN
Once your NTN is issued, you can use it for various financial transactions:
- Banking Services: You can open a bank account through your NTN. Banks often ask for NTN as a means of identification, to find out what your financial background is.
- Application for Loans: If you are applying for a loan, banks will check your NTN. It helps to check your credit history and financial status.
- Government Services: Many government services, like passport applications or land purchases, require NTN.
- Commercial Registration: If you want to start your own business, you will need an NTN so that your business is legally recognized.
Result
The National Tax Number (NTN) is an important document for every citizen. It not only helps in meeting your obligations in tax matters but it also clarifies your financial status. FBR has made the registration process for NTN easy, and all you have to do is follow a few simple steps. Also, you can make the process even easier with the help of legal experts, such as Hamza and Hamza Law Associates, who have experience in this field.
You should try to get NTN as early as possible, understanding its benefits and importance. This can be a positive step in your financial life.
