NTN National Tax Number Registration

What is an NTN?

NTN stands for National Tax Number. The National Tax Number registration certificate is used by all taxpayers, including both permanent and temporary residents of Pakistan, to track their taxable incomes and valuable assets. Pakistan’s tax authority, the Federal Board of Revenue (FBR), assigns NTNs (National Tax Numbers) to taxpayers for the purposes of assessing their income tax. All taxable activities require an NTN number certificate or online verification on the FBR website, regardless of how much income is generated or how marketable they are. 

In Pakistan, you must pay taxes if you have an income. An NTN is needed to pay the tax. Each salaried person and business person is required to pay taxes by the Federal Board of Revenue. You must register yourself with the Federal Board of Revenue (FBR) in order to pay these taxes in Pakistan.

Why do you need a National Tax Number (NTN)?

A National Tax Number (NTN) is required if you owe income tax, property tax, or sales tax in Pakistan. Tax filers also benefit from reduced vehicle token taxes. For non-filers, the tax rate on banking transactions, property transactions, and vehicle tokens is higher.

Being a tax filler is better because you avoid the higher rates on many things. Pakistan requires National Tax Numbers (NTNs) for tax filing. The Federal Board of Revenue (FBR) can generate your National Tax Number (NTN) for you if you are a salaried employee. Tax returns are, however, filed with FBR.

Is the NTN Number necessary?

Individuals, businesses, and non-profit organizations need NTN numbers. 

The withholding tax rate will be higher on cash withdrawals from banks, cash transfers, car purchases, and real estate transactions if you do not file an income tax return.

The benefit of the NTN (National Tax Number)

Those who give income to the government must obtain the NTN by registering themselves with the FBR. An individual with the NTN enjoys the following advantages:

  • An individual who receives the NTN must file an annual income tax return.
  • In the case of a businessman, the NTN holder can benefit from many business benefits and his or her business becomes more favorable.
  • NTN is a symbol of patriotism that indicates a person is loyal to the country and true to their calling.
  • NTN holders and income taxpayers can benefit from the government in many ways.
  • Income taxpayers can participate in auctions and get Government contracts.
  • Income taxpayers can become members of the chamber of commerce and industry.
  • Taxpayers are considered to be noble, honest, and sincere in their country at the international level.
  • Income taxpayers who are appointed to public service or become government employees are ineligible for disqualification on this basis.

NTN Registration Number For Companies

In accordance with the Income Tax Ordinance 2001, public and private companies are required to register their NTN number in Pakistan in order to file yearly and quarterly income tax statements and withholding tax returns. NTN numbers do not need to be renewed periodically since the Income Tax Ordinance was introduced in 2001. People in Pakistan can now easily register NTNs.

Documents required for Salaried Persons NTN Registration

  • Copy of valid CNIC
  • Recent electricity bill of the house 
  • Latest payslip.
  • Contact Numbers & Email address
  • Employer’s NTN, Office Address, and Email address

Documents required for Business NTN Registration

  • Copy of valid CNIC.
  • A copy of the recent electricity bill for the business location.
  • Blank Business Letterhead.
  • Rental Agreements (printed on Rs. 200/- stamp paper).
  • Contact Numbers & Email addresses.
  • Nature of Business.

How to get a National Tax Number from FBR?

Nowadays, the process is very simple. For your National Tax Number, you do not need to visit the Federal Board of Revenue office. NTN can also be obtained online by visiting the IRIS FBR portal

If your income falls within the bracket of taxable income then you have to get NTN from FBR. If your income is 6 lacs per year then you are liable to pay the income tax. You need NTN to file your tax returns.

Get your NTN in 1 day with the help of Taxocrate

Are you looking to register your NTN to become an active taxpayer in Pakistan? Taxocrate (Pvt) Ltd provides the facility of online registration and verification of NTN Certificates through the CNIC.

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