No ‘Zero Return’ option NBR Warns

Staff Reporter :

The National Board of Revenue (NBR) has issued a stern warning to taxpayers against misleading social media posts promoting so-called “zero returns,” emphasising that such practices are illegal under the Income Tax Act 2023.

In a statement released on Sunday, the NBR condemned online
claims suggesting individuals can file income tax returns by entering zeros across all sections, describing this as misinformation that encourages false declarations of income, expenses, assets, and liabilities.

“There is no provision in the law for filing any type of ‘zero return’,” the NBR stated, urging taxpayers to report all relevant financial information accurately.

Under Sections 312 and 313 of the Income Tax Act 2023, submitting false or misleading information-including declaring income or assets as zero when this is untrue-is a criminal offence punishable by up to five years’ imprisonment.

The authority also clarified that taxpayers whose income falls below the taxable threshold must still submit accurate returns. While no tax liability arises in such cases, returns must reflect the true financial position rather than blanket zeros.

The NBR advised taxpayers to seek information from official sources and avoid following fraudulent advice circulating online. Filing truthful and complete returns is essential to avoid fines, imprisonment, and other legal repercussions.