Written by Hamza Shahnawaz in Taxation Under SRO 2097(I)/2026, individuals filing late income tax returns can seek an ATL surcharge waiver by submitting Form ATL-U and undertaking not to acquire property for six months. ISLAMABAD: The Federal Board of Revenue (FBR) has notified a new procedure allowing individuals who file their income tax returns for tax year 2026 after the October 31, 2026 deadline to secure inclusion in the Active Taxpayers’ List (ATL) without paying the prescribed late-filing surcharge. The tax authority issued S.R.O. 2097(I)/2026, introducing amendments to the Income Tax Rules, 2002 under Section 237 read with sub-section (3) of Section 182A of the Income Tax Ordinance, 2001. Under the newly inserted sub-rule (2B) of Rule 81B, individuals filing late returns for the latest tax year can request an exemption from the ATL surcharge by submitting an undertaking through the FBR’s IRIS portal using Form ATL-U. The procedure allows eligible taxpayers to seek ATL inclusion without paying the surcharge, subject to compliance with the prescribed conditions. Six-month restriction on property purchases According to sub-rule (2C), the six-month restriction period will begin on the date mentioned in the electronic acknowledgement issued by IRIS after successful submission of Form ATL-U. Under the prescribed undertaking…