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+--- Thread: Self Assessment Scheme (/thread-self-assessment-scheme)
Self Assessment Scheme - msc286 - 04-06-2007
After the promulgation of Income Tax Ordinance, 2001, we are in a tax era of Self Assessment, meaning thereby that whatever is stated by the taxpayer is accepted by the tax authorities and assessment is deemed to be finalized at the time of furnishing of the tax return.
Although tax authorities have the option of audit of any case, it is hardly undertaken by the authorities.
Now, in view of the overall tax culture of Pakistan, and the tendency of the taxpayers to conceal / understate their taxable income, I have the following to be considered by the valued members of the forum.
Is Self Assessment a viable option in Pakistan?
Regards,
Mahmood Chaudhry
ACCA, ACA
- kamranACA - 04-06-2007
Mr. Mahmood,
Off course, we can find what is more useable. Traditional assessments or self-assessments. What we require is to know how many tax payers and how much tax revenue have been enhanced or decreased after the application of new ordinance i.e. self assessments. However, these self-assessment schemes, with different stipulations, were also used to be introduced by CBR even before, ITO, 2001.
Let me obtain data of tax payers and tax revenues of CBR for some years and then I will come back with comments. Otherwise, my comments would be an arrow towards skies. )
Best regards,
Kamran.