Question 05 (10 marks)
a)
Time Limits for Commissioner to Amend Assessments
Amendment Timeframes
Condition Time Limit Explanation
From the end of the financial year in which the
From original assessment 5 years
original assessment was issued or deemed issued
From the end of the financial year in which the
From previous amendment 1 year
amendment was made
Example Application:
If original assessment was made in FY 2016, then further amendment can be made up to 30 June 2021
a)
(i): Assessment order for tax year 2014 was made on 31 December 2014. Demand notice was served on 1
January 2015.
Section 127(1) of the Income Tax Ordinance, 2001
Appeal must be filed within 30 days of The date of service of the assessment order or demand notice,
whichever is later.
Assessment order date: 31 December 2014
Demand notice served: 1 January 2015 → this is the later date
Therefore, appeal must be filed within 30 days from 1 January 2015
Last date to file appeal: 31 January 2015
Case (ii): Refund application was filed on 18 April 2015 but no refund order was passed within 60 days.
Section 170(3) of the Income Tax Ordinance, 2001
If no refund order is passed within 60 days, the taxpayer may file an appeal after the expiry of 60 days from the
date of refund application.
Refund application filed: 18 April 2015
60 days expire on: 17 June 2015
Appeal can be filed after 17 June 2015, and must be filed within 30 days from that date.