FBR has formally introduced a new mechanism allowing eligible individuals who filed their income tax returns after the prescribed deadline to become Active Taxpayers without paying the Rs. 25,000 surcharge. Through S.R.O. 2097(I)/2026, the FBR has finalized the amendments following the earlier draft issued on October 6, 2026. Under the revised framework, individuals may obtain ATL inclusion by electronically submitting Form ATL-U, containing an undertaking not to purchase or acquire any property for the following six months.
The six-month restriction is an important condition of this relief. The period begins from the date of electronic acknowledgment issued by IRIS upon successful submission of Form ATL-U. During this period, the individual must not purchase, acquire, or otherwise obtain ownership or beneficial interest in any property. The FBR may verify compliance using information obtained from registries, financial institutions and other lawful sources. If a violation is established after providing an opportunity of hearing, the surcharge waiver benefit may be withdrawn from the date of breach.
This development provides an alternative route for late filers seeking ATL inclusion without the additional surcharge. However, taxpayers should carefully consider their intended property transactions before opting for this facility. The relief does not eliminate the underlying return-filing obligations; rather, it provides a conditional exemption from the surcharge otherwise applicable for ATL inclusion.