JUDGMENT

Briefly stated, the respondent was selected for audit[1] on 25.02.2013, however, instead of proceeding with the audit to its conclusion[2] the applicant apparently passed an amendment of assessment order under section 122 of the Income Tax Ordinance 2001 (“Ordinance”) inter alia without satisfying the requirements per section 177(6A)[3] of the Ordinance. The respondent preferred an appeal before the learned Appellate Tribunal Inland Revenue and vide order dated 30.10.2019 (‘Impugned Order’) the appeal was allowed. The pertinent observations / findings are reproduced herein below:
46. In this case, admittedly, no audit report was issued to the taxpayer containing audit observations as already discussed in the body of this order. We feel no hesitation in holding that the amended order itself states that “considering the time constrain for completion of audit proceedings for tax year 2011 being barred by limitation” the amended order under Section 122(...