CAF-2 · Chapter 3 · Question 12 of 15
The Federal Board of Revenue (FBR) has the power to attach bank accounts to recover tax. If a taxpayer's entire business would collapse from immediate recovery, forcing them into bankruptcy instead of allowing installment payments, which pillar of tax administration is most at risk of being ignored?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) C) Equity
Explanation
Equity demands that tax administrators do not achieve their objectives in an irrational manner, balancing revenue collection with the continuation and prosperity of the taxpayer's business.
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