The legislature has made several amendments to the alternative dispute resolution (ADR) provisions in tax laws in recent years.
- In 2020, the legislature revamped the ADR provisions in totality under all tax statutes.
- In 2022, further amendments were made to the ADR provisions in the Sales Tax Act and the Federal Excise Act.
- The Finance Act 2023 has once again amended the ADR provisions in these laws.
The following table summarizes the key amendments made by the Finance Act 2023:
| Provision | Existing | Finance Act 2023 |
|---|---|---|
| Time limit for constituting an ADR committee | 45 days | 15 days |
| Withdrawal of appeal | Not allowed | Must be withdrawn within 60 days of the ADR committee's decision |
| Offer of tax payment | Non-retractable | Not binding |
The amendments made by the Finance Act 2023 are intended to make the ADR process more efficient and effective.
