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register as a freelancer with FBR

How to Register as a Freelancer with FBR in Pakistan

How to Register as a Freelancer with FBR in Pakistan

register as a freelancer with FBR

Freelancing in Pakistan has grown rapidly, with professionals earning from international clients through platforms like Upwork, Fiverr, and PayPal. However, many freelancers are unaware of their tax obligations and how to register with the Federal Board of Revenue (FBR).

This step-by-step guide explains how to register as a freelancer with FBR, obtain an NTN (National Tax Number), and stay compliant with tax laws.

Why Should Freelancers Register with FBR?

✅ Legal Compliance – Avoid penalties for non-filing
✅ Smooth Banking – Required for receiving foreign payments
✅ Tax Benefits – Claim deductions on business expenses
✅ Future Proofing – Needed for loans, visas, and business expansion

Step 1: Obtain an NTN (National Tax Number)

All freelancers earning taxable income must register for an NTN. Here’s how:

Online Registration via FBR’s IRIS Portal

  1. Visit FBR’s IRIS Portal
  2. Click “Register as New Taxpayer”
  3. Select “Individual” (since freelancers are sole proprietors)
  4. Fill in personal details (CNIC, address, contact info)
  5. Submit & receive NTN via SMS/email (usually within 24 hours)

📌 Note: If you already have an NTN (from a previous job), use the same one.

Step 2: Register for Income Tax (If Earning Above Threshold)

Freelancers must file tax returns if annual income exceeds:

  • PKR 600,000 (for salaried/freelancers)
  • PKR 400,000 (for non-salaried)

How to Register for Income Tax

  1. Log in to IRIS Portal with your NTN
  2. Go to “Income Tax Registration”
  3. Select “Freelancer/Consultant” as profession
  4. Submit & wait for FBR approval

Step 3: Sales Tax Registration (If Applicable)

Freelancers providing services to Pakistani clients (e.g., local businesses) may need:
✔ Sales Tax Registration (STRN) – If earnings exceed PKR 3 million/year
✔ Monthly/Quarterly Returns – If registered

💡 Most freelancers don’t need this unless working with local corporate clients.

Step 4: File Annual Tax Returns

After registration, freelancers must:
📅 File returns by September 30 (for the previous tax year)
📊 Declare all income (local + foreign)
📉 Claim deductions (internet, software, home office expenses)

Common Mistakes to Avoid

❌ Not registering at all (FBR tracks foreign remittances via banks)
❌ Underreporting income (leads to audits & penalties)
❌ Missing deadlines (late filing fines up to PKR 50,000)
❌ Not keeping records (always save invoices & expense receipts)

How Taxwork Can Help Freelancers

Struggling with FBR registration? Taxwork provides:
✔ NTN & Tax Registration Assistance
✔ Freelancer Tax Return Filing
✔ Deduction Optimization to Save Money

📞 Get Expert Help Now

Final Thoughts

Registering with FBR as a freelancer ensures legal compliancesmoother banking, and tax savings. Follow these steps to avoid penalties and manage your taxes efficiently.

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