Circular No. 26/93/200 dated 3/3/1393
Subject: How tax administrations act in cases of taxpayers’ inadvertent mistakes in recording the amounts of some tax return items
According to Wasileh’s information, some taxpayers have declared that during the completion and submission of the electronic tax return for the year 2011, they have mistakenly declared some items in the return, balance sheet and profit and loss account or income and expense account more than the actual amount. This has caused the sale, taxable income and declared tax of such taxpayers to be entered in the system with a significant difference compared to the reality of the matter or the previous years, therefore it is hereby decreed:
The tax officers handling the declaration of such taxpayers with a complete review of the books and documents expressed or obtained according to the case and taking into account the taxable income and the declared or determined tax of previous years as well as the amount of activity of the taxpayer in the year under consideration and in implementation The provisions of Note 2, Article 97 of the Direct Taxes Law and regardless of the provisions of Note 2, Article 210 of the aforementioned law, determine the actual taxable income of such taxpayers based on the aforementioned items as follows.
1- A committee composed of one person from the Tax Deputy of the General Administration (Secretary of the Committee), a representative of the Tax Police Prosecutor’s Office, the security officer of the General Administration and the head of tax affairs to handle the case should be formed.
2- The tax officers handling the case of the above-mentioned taxpayers, after examining and implementing the cases, in case of finding a mistake by the taxpayer and according to the request of the taxpayer to correct the mistake, they should report the situation to the head of the relevant tax affairs department using the attached form.
3- The head of the relevant tax affairs department after conducting the necessary investigations and in case of finding a mistake in completing the tax return by the taxpayer, send the scores to the committee.
4- After reviewing the relevant documents and documents, the aforementioned committee will announce the grades to the Tax Affairs Department in case of a mistake.
5- Tax officers dealing with tax cases, according to the minutes of the meeting of the said committee, according to the provisions of Note 2 of Article 97 of the Direct Taxes Law, determine the actual taxable income of the taxpayer in compliance with the relevant provisions.
Regarding such cases that are discussed in the stages of tax proceedings, the tax dispute resolution boards will have the authority of the said committee, therefore, they will examine the matter and issue the appropriate decision.
It is necessary to explain, in case such taxpayers, from the information contained in the tax declaration that has been sent electronically, have subsequently submitted the declaration according to the documents and documents manually and by correcting the above mistake within the stipulated time. In the declaration submitted manually, it is the criterion of action.
It is obvious that the investigating tax officers as well as the authorities subject to Article 238 of the Direct Taxes Law, in any case where the implementation of Note 2 of Article 97 is possible, will be obliged to implement the ruling of the said Note.
This post is written by Mahdi_kohsoltani