Draft SRO 1689(I)/2026: one tax return per vessel, and recovery from the authorised shipping agent
Written 19 October 2026. FBR has published a draft replacement for rule 37 of the Income Tax Rules, 2002. That is the rule for the section 143 return made for a vessel by a non-resident ship owner, a charterer, or an authorised shipping agent. As drafted, it would move that return into FBR's Iris system and build it around one return per vessel visit. It would also put recovery of the tax on the authorised shipping agent.
The instrument is SRO 1689(I)/2026, dated 6 October 2026, issued under section 237(1) of the Income Tax Ordinance, 2001. Its first sentence calls it a "draft of certain further amendments… which the Federal Board of Revenue proposes to make". It invites objections within seven days of its publication in the official Gazette. This article does not compute that deadline, and nothing below is yet law.
Who this is about
The draft places its duties on the master of ship or the authorised shipping agent, and on shipping agents and co-loaders who file manifests against the same vessel. It does not mention customs clearing agents. If your business also acts as a shipping agent or co-loader, read on. If you only clear consignments, this is background on how the vessel side may change, not a new duty on you.
What the draft proposes
The return moves to Iris
Under the draft, the section 143 return is furnished "through the specified electronic return made available by the Board in its computerized system (Iris)" (sub-rule 2).
PSW feeds the vessel data
On receiving the vessel intimation report (VIR), the Pakistan Single Window would "electronically transmit the relevant vessel information, on a VIR basis, to Iris" (sub-rule 6). That information includes the "NTNs of all shipping agents and co-loaders filing manifests in respect of the same VIR" (sub-rule 7(f)).
One return per VIR, held until everyone has paid
"Only one electronic return shall be generated in respect of each distinct VIR" (sub-rule 10(c)). It is made available in the Iris account of the master of ship or the authorised shipping agent filing that VIR. Each master, authorised shipping agent and co-loader associated with the VIR generates a payment slip ID (PSID) for its freight and tax. The return "shall remain pending and shall not be capable of submission until all payments required in respect of the relevant VIR have been made" and the payment receipts (CPRs) are linked to it (sub-rule 10(h)).
The filer declares for everyone
The filer confirms that the return has been furnished on behalf of all shipping agents and co-loaders associated with the VIR, and that the information is true, complete and correct (sub-rule 11). The draft electronic form shown in the notification goes further. The person filing, as authorised shipping agent or master, declares they are filing "on behalf of all associated Co-Loaders / Agents" and "assume complete responsibility for the accuracy and completeness of the information submitted".
Extensions need security
An application for extension under section 143(4) must be made before the vessel departs (sub-rule 12). It must come with the estimated tax liability, the voyage documents, and security equal to that liability. The security is "a bank guarantee or a pay order or a post-dated cheque, the date thereon shall not exceed a period of thirty days from the date of departure of the ship" (sub-rule 12(e)).
Recovery starts with the authorised shipping agent
"Recovery proceedings in respect of any tax payable under section 143 of the Ordinance shall be initiated against the authorised shipping agent" (sub-rule 18). The draft preserves that agent's right to recover from the master, charterer, shipping agents, co-loaders or others associated with the VIR.
Why it matters, if it is finalised as drafted
- One return covers the whole vessel. The authorised shipping agent's filing cannot be submitted until every associated agent and co-loader has paid and linked their receipt.
- Exposure sits with the filer. Under sub-rule 18, recovery is pursued against the authorised shipping agent first, which then has to recover from the others.
- Co-loaders become visible by NTN on every VIR they file manifests against.
A draft can change before it is finalised, and it can be finalised in a different form. Watch FBR's notifications for the final rule 37, and read that text before changing how you work.
Read from SRO 1689(I)/2026 as published by FBR: the notification PDF (dated 6 October 2026, F. No. 1(16)/R&S/2026). The SRO number is handwritten on the scan, and FBR's own index lists it as 1689. The scan's text layer is unreliable, so every quotation was read from the page images on 19 October 2026. This is general information about a draft rule, not tax or legal advice.