The National Board of Revenue (NBR) has extended the deadline for submitting online VAT returns through its e-VAT system until 22 February 2026, citing public interest and recent technical disruptions.
According to an official order, the extension was granted due to a prolonged spell of government holidays surrounding Shab-e-Barat and the national election which limited business operations and affected compliance activities.
In addition, taxpayers faced further difficulties on 15 February when the OTP server of the e-Challan system experienced downtime, preventing many from completing their return submissions on time, it added.
In view of these circumstances, the revenue authority exercised its legal powers under Section 64 (1A) of the Value Added Tax and Supplementary Duty Act, 2012, to allow additional time for filing returns.
The decision aims to ensure that businesses and VAT-registered entities are not penalised for delays caused by factors beyond their control.
Many businesses had reported difficulties in accessing the system and generating necessary documents due to the server problem, particularly on the final days leading up to the original deadline.
The NBR urged all VAT-registered entities to use the extended period responsibly and submit their January 2026 returns within the new timeframe to avoid penalties and ensure compliance with tax regulations.
It also assured taxpayers that necessary measures are being taken to maintain system stability and prevent similar technical setbacks in the future.
The e-VAT system has been a key component of the country’s efforts to modernise tax administration and improve transparency in revenue collection.