Preparing a P&L for a small business income tax return in Pakistan

What you are preparing

Individuals and AOPs with business income generally report business revenue and expenses when preparing an income tax return through the FBR's IRIS portal. A profit and loss summary built from your bank statements is a practical starting point. Confirm current forms and thresholds with the FBR or a tax practitioner, as rules change each budget.

From statements to figures

• **Revenue**: customer receipts, including IBFT and RAAST transfers from clients.
• **Exclude**: transfers between your own accounts, loans, and capital you added.
• **Expenses**: rent, salaries, utilities, transport and purchases related to the business.
• **Withholding tax**: bank and supplier deductions are often adjustable; keep the certificates.

Freelancers and IT exporters

Foreign remittances for IT services may have special treatment. Keep the proceeds realisation certificates (PRC) your bank issues alongside statements.

Use a draft, then verify

NanoFora lets you pick **Pakistan** as the country, classify each transaction and download a reviewed P&L draft. It is a preparation aid, not an FBR form, and NanoFora does not file returns.