The Karachi skipper has also been fined Rs 15,000 (250 dollars) for conceding the match in Faisalabad after protesting that the pitch was "dangerous", the PCB said after an inquiry.
"Latif was leading the Karachi team and when they were 33-4 conceded the match and refused to continue the match," a PCB statement said.
"Latif was in serious breach of playing conditions and PCB chairman Shaharyar Khan took a serious note and has noted that it is not the first time Latif has acted in such a manner." The statement added that only umpires or match referees could declare a pitch unfit for play and a written report later said it was "not dangerous".
The ban appears to have ended 36-year-old Latif's hopes of staging a comeback since losing his place in the national team last year.
The wicketkeeper, a whistle-blower on match-fixing in the 1990s and known for his blunt style, said he had appealed against the ruling.
"I have appealed against the ban because it's against the rules which say that you can scratch a team and not an individual," Latif told AFP.