CAF-2 · Chapter 15 · Question 11 of 15
Generally, taxpayers are required to maintain books of accounts and records for six years after the end of the tax year to which they relate. However, this 6-year time limit is NOT applicable in which of the following cases?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) B) Records relating to foreign source income, assets, and expenses, which must be maintained for an indefinite period.
Explanation
The time limit of 6 years will not be applicable in the case of foreign source income, assets, expenses, etc., and the taxpayer is required to maintain this specific record for an indefinite period of time.
More Assessment, Records and Audit MCQs
- Q13If a registered person voluntarily files a revised return and deposits the tax sought to be evaded along with default surcharge during an…
- Q14The Federal Board of Revenue (FBR) may appoint a Special Audit Panel to conduct a forensic audit of a taxpayer. Who is legally required to…
- Q15Under Section 175B of the Income Tax Ordinance, 2001, which authority is empowered to compute the "indicative income and tax liability" of…
- Q1Under the Universal Self-Assessment Scheme (USAS) principles in Section 120, if a taxpayer furnishes a complete return of income, when is…
- Q2If a return of income is filed and no adjustments are made by the FBR's automated system within a specified period, the amounts declared…