- 20 Marks
ATP – Feb 2017 – L3 – Q1 – Tax Avoidance
Explain arrangement and tax avoidance with examples under Income Tax Act 2015.
Question
a). Section 34 (i) of the Income Tax Act, 2015 (Act 896) states that:
“For the purpose of determining liability of tax under this Act, the Commissioner-General may re-characterize or disregard an arrangement or part of an arrangement that is entered into or carried out as part of tax avoidance scheme:
a. Which is fictitious or does not have a substantial economic effect, or
b. Whose form does not reflect its substance’’
Required:
Briefly explain with two examples for each of the following:
i. Arrangement (5 Marks)
ii. Tax avoidance (5 Marks)
b). Under the Customs, Excise and Preventive Service (Management) Law, 1993 PNDCL 330; explain the following:
i) Quarantine (2 Marks)
ii) Drawback (2 Marks)
iii) Excisable goods (2 Marks)
iv) Uncustomed goods (2 Marks)
v) Rummaging (2 Marks)
Find Related Questions by Tags, levels, etc.
- Tags: Customs, Drawback, Excisable Goods, Quarantine, Rummaging, Uncustomed Goods
- Level: Level 3
- Topic: Indirect Taxes
- Series: FEB 2017
