What is NTN in Pakistan
The National Tax Number, or NTN, is a one-of-a-kind identification number provided by the Pakistani tax authority – the Federal Board of Revenue (FBR) – to validate the registration of a corporation. To open a business bank account or conduct any financial transaction in Pakistan, you must first register with an NTN.
It is a legal requirement in Pakistan for everybody who earns money to pay their taxes. To do so, you must first register as a legal taxpayer, which necessitates the acquisition of a National Tax Number (NTN). Every salaried person and/or business person is required by the Federal Board of Revenue to pay the required taxes at the end of the year. As a result, you must register with the Federal Board of Revenue (FBR).
The Pakistani government uses the NTN number to track its citizens, permanent residents, and temporary residents for employment, tax, government benefits, healthcare, and other government-related services. The NTN (National Tax Number) is also a unique identifying number issued by the revenue board in order to validate business registration. To engage in any taxable activity, whether commercial or income-generating trading, you must first register with the FBR.
An NTN is necessary for all income-earning people, entrepreneurs, business firms, companies, and NGOs / NPOs. If you do not file an income tax return, you will be subject to a higher/higher withholding tax rate on cash withdrawals from banks, transfer transactions, car purchases, and property sale/purchase transactions, and more.