Preparation Process for VAT Return
Mar 22, 2022
The delivery of documentation
- To enable the preparation of the VAT return for the previous month, the Client must send the VAT documentation through e-mail or postal mail no later than the fifth day of the current month.
The VAT return consists of the following items:
- Input invoices are recorded in the KUF, which is the book of input invoices, which is used for recording all input invoices of the Client after receiving invoices and for documenting VAT prepayment at the ITA during the reporting period (one calendar month). In the event that the Client is represented by a tax representative, suppliers can transmit the original documents straight to the tax representative, as VAT control is carried out with the tax representative on behalf of the Client. On the practical side of the equation, input invoices can be included in a VAT return for either the tax period (month) from which they bear the date of issue or for earlier tax periods.
- It is the book of output invoices that serves as the basis for recording all of the output invoices that have been originated during the tax period (month) for which the VAT return is being produced.
- PDV is a form that is used to declare VAT liability or VAT prepayment, and it is available online. This document, which is verified by the Client's business seal, i.e. the VAT representative, is filed with the Indirect Tax Authority (ITA) no later than the 10th day of a current month in order to file a VAT return for the previous month (with certain exceptions, see the last point);
- A more complete review of the transactions presented in the P PDV form is provided by the D PDV form, which is filed electronically with the ITA and is a supplement to the P PDV form.
A website with the domain name Accotech has been created for the purpose of providing our clients in Pakistan with accounting, tax, and technology-related services.
The deadline for submitting VAT returns has passed.
- The filing of P PDV and D PDV forms for the previous month must be completed no later than the 10th day of the current month for the next month. If the tenth day of the month falls on a Saturday, Sunday, or a public holiday, the deadline for submitting the P PDV form is extended to the following working day until the end of the month. The deadline for paying the VAT due for the current month (tax period) is the tenth day of the following month after the month in which the VAT is due. If the 10th falls on a Saturday, Sunday, or a public holiday, payment must be received no later than one day before to the scheduled date of the event.
If you are an individual or a business in Pakistan that generates money, you are required to pay income tax as well as other direct taxes. To do so, you must first register as a taxpayer and obtain a National Tax Identification Number (NATN) (NTN).
