Law: Income Tax Ordinance, 2001

Section: 114,120,122(5A),129,131

Income Tax Ordinance (XLIX of 2001)--- ----Ss. 114, 120, 122(5-A), 129 131---Powers of appellate authority---Scope---Return of income to be the assessment order---Amendment of assessment---Remand of case to Assessing Officer---Return of income filed by the taxpayer for relevant year, was treated as an assessment order, deemed to have been issued in terms of S.120 of the Income Tax Ordinance, 2001---Said assessment order, subsequently having been considered erroneous, as well as prejudicial to the interest of revenue requiring further amendment, Assessing Officer amended the said order---Commissioner Inland Revenue (Appellate Authority), remanded the case to Assessing Officer---Validity---Appellate authority could himself decide the issue on his own and need not remand the matter to the Assessing Officer for fresh consideration---Appellate authority could exercise all such powers as the Assessing Officer could have exercised at the time of original proceedings and what the Assessing Officer could have done, appellate authority could also do in appeal proceedings---Scope of appellate authority was conterminous as co-existence with that of Assessing Officer---Order of appellate authority in circumstances, was not sustainable in the eyes of law---Matter was remanded by the Appellate Tribunal to the appellate authority to pass speaking judicious order after application of judicial, judicious and conscious mind and after examination of records of assessment and details/information and cross-verification of details and after confrontation and obtaining rebuttal of the taxpayer within 60 days of the receipt of that order, subject to reasonable opportunity of hearing to the appellant/taxpayer as well as revenue department---Appellate authority, after the amendment by Finance Act, 2005, could confirm, modify or annul the assessment order because said authority had wider powers to conduct enquiry and could enhance the assessment, confirm the assessment or modify the assessment, but appellate authority was divested of powers to set aside the case for de novo proceedings. 2001 PTD 1467; (1969) 20 Tax 51 (Trib.); Chairman WAPDA, Lahore and others v. Gulbat Khan 1996 SCMR…