KARACHI: The income tax law has empowered a commissioner Inland Revenue to make provisional assessment where a concealed asset of a person impounded by any government agency.
According to updated Income Tax Ordinance, 2001 issued by Federal Board of Revenue (FBR), a commissioner IR has been empowered to make provisional assessment to recover due taxes from concealed assets under Section 123.
123: Provisional assessment in certain cases
Sub-Section (1): Where a concealed asset of any person is impounded by any department or agency of the Federal Government or a Provincial Government, the Commissioner may, at any time before issuing any assessment order under section 121 or any amended assessment order under section 122, issue to the person a provisional assessment order or provisional amended assessment order, as the case may be, for the last completed tax year of the person taking into account the concealed asset.
Sub-Section (2): The Commissioner shall finalize a provisional assessment order or a provisional amended assessment order as soon as practicable.
Sub-Section (3): In this section, “concealed asset” means any property or asset which, in the opinion of the Commissioner, was acquired from any income subject to tax under this Ordinance.