Written by Faisal Shahnawaz in Taxation Companies and AOPs could face a minimum Rs500,000 penalty for submitting incomplete, blank or inaccessible documents with their tax returns. ISLAMABAD: The Federal Board of Revenue (FBR) has warned taxpayers that incomplete income tax returns and wealth statements for Tax Year 2026 could trigger legal action and substantial penalties under the Income Tax Ordinance, 2001, as the filing deadline approaches. FBR sources said the law contains stringent provisions requiring taxpayers to furnish complete and accurate information in their tax returns. The requirements are particularly significant for Associations of Persons (AOPs) and corporate entities, which are required to provide comprehensive financial and other particulars in their prescribed returns. Incomplete tax returns can attract penalties Under the prevailing income tax law, a person, including a company or an association of persons, may be liable to a penalty if they fail to fully disclose the relevant particulars or information required in the return of income. The provisions cover information specified in the prescribed return form, including declarations relating to the records maintained by the taxpayer. A penalty may also be imposed where a taxpayer furnishes an annexure, statement or document required with the income tax return in blank form or with incomplete or irrelevant particulars. Similarly, taxpayers may face penalties for attaching blank or incomplete annexures, statements or records where these documents are required to accompany the return. Inaccessible audited accounts treated as incomplete The law also contains a significant provision concerning audited financial statements. Where audited financial statements are submitted as image files, scanned documents or password-protected files that are illegible or otherwise inaccessible to the concerned Inland Revenue…