Law: Income Tax Ordinance, 2001

Section: 161,161(1B),162,162(2)

Law: Dar-ul-madina International University Islamabad Act, 2013

Section: 44

Purpose of advance tax.�The very purpose of advance tax is collection of tax in advance and its adjustment at later stage but not charging or levy of tax. For collection of advance tax, certain persons are obliged, by the Statute, to collect and deposit the same in treasury. The person obliged, under the Statute, to withhold or deduct tax of another person is in fact an agent of the State. If he fails to comply with the statutory obligation, such tax can be recovered from him. The person obliged to withhold or deduct tax of another person is in fact an agent of the State. If he fails to comply with the statutory obligation, such tax can be recovered from him. Section 161(1B) casts an obligation upon the Commissioner or Taxation Officer to satisfy itself that the tax due of the person, from whose payment advance tax was to be deducted or collected, has been paid. Tax liable to be adjusted against tax due, cannot be recovered when the tax due is already paid.- Section 161(1B) casts an obligation upon the Commissioner or Taxation Officer to satisfy itself that the tax due of the person, from whose payment advance tax was to be deducted or collected, has been paid. The rationale m the subsection (1B) is very simple that a tax liable to be adjusted against tax due, cannot be recovered when the tax due is already paid. Recovery of any amount thereafter, not adjustable against tax due for the relevant period shall have to be refunded and the whole exercise f0r recovery would be futile, as tax collected would not become part of National Exchequer rather Would burden it with an expense which could have been expended for recovery of tax due. 1 he pursuit of creating such demands by tax administrators, to meet budgetary targets, not only wastes resource and revenue but burdens the judicial hierarchy up to the level of Hon�ble Supreme Court. The practice of calling reconciliation, in absence of any statement, is against the spirit of Rule 44 of the Income Tax Rules, 2002. Rule 44 envisages, unequivocally, that reconciliation has to be of the biannual or annual statements with other material and declaration submitted in or with the return. If there is no statement filed…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492