Returns and Assessments Chapter- 17
(3) The Commissioner may, by an order in writing, cancel a business licence issued under sub-section
(1) after providing an opportunity of being heard to the person, if –
(a) such person fails to notify any change in particulars within 30 days of such charge; or
(b) such person is convicted of any offence under any federal tax law.
- Rectification of mistakes [Section 221]
The CIR, the CIR(Appeals) or the ATIR may, by an order in writing, amend any order passed by
him to rectify any mistake apparent from the record on his or its own motion or any mistake
brought to his or its notice by a taxpayer.
No order which has the effect of increasing an assessment, reducing a refund or otherwise
applying adversely to the taxpayer shall be made unless the taxpayer has been given a
reasonable opportunity of being heard.
Where a mistake apparent on the record is brought to the notice of the CIR or CIR (Appeals)
and no order has been made before the expiration of the financial year next following the date
on which the mistake was brought to their notice, the mistake shall be treated as rectified.
Further no rectification may be made after 5 years from the date of the order sought to be
rectified.- Different tax strategies
There are different approaches to whereby a person to mitigate or reduce the tax incidence over a
person.
There are classified in the following three headings. Tax evasion: Tax evasion is the approach whereby a person evades the tax due on its
income. He did not declare the true particulars of income or conceal the taxable activity from
the concerned Authorities. The tax evasion is a criminal Act and it is not only punishable but
also liable to be prosecuted. Tax avoidance: Tax avoidance scheme is a strategy whereby a person although pay the tax,
however, he understates his income or taxable activity. In order to achieve objective, the
taxpayer may temper the record and evidences. The open courts also deprecate this method
and it also attracts penal provisions of law. Tax planning: Tax planning is the strategy wherein a taxpayer plans its transaction in such a
way that its tax incidence may be reduced. The process is simply availment of the benefits,
credits, exemptions available under the law in favour of a taxpayer. The taxpayer may also take
the advantage of any lacunas in the law. However, such planning can only be exercised with
the help of good legal experts. The accepted the fact and acknowledge its applicability in the
course of business transactions. Therefore, it is a permissible mode to reduce the tax incidence
of a person.