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Section 123

Commissioner ’s discretion to abandon or remit tax. 


L.N.97/2001
(1) Notwithstanding the provisions of this Act, in any case where he is of the opinion that he should refrain from assessing to tax, or recovering tax from, a person by reason of - 
(a) uncertainty as to any question of law or fact; or 
(b) consideration of hardship or equity; or 
(c) impossibility, or undue difficulty or expense, of recovery of tax, 
       the Commissioner may elect to refrain from assessing or recovering the tax in question and thereupon liability to the tax shall be deemed to be extinguished or the tax shall be deemed to be abandoned or remitted, as the case may be, and the provisions of this Act other than this section shall no longer apply thereto. 

(2) In any case which has been referred to him, and where he considers it appropriate, the Minister may in writing direct the Commissioner - 
(a) to take such action under this section as the Minister may deem fit; or 
(b) to obtain the direction of the Court upon the case. 

(3) Where the Commissioner has elected to refrain from assessing or recovering tax under the provisions of subsection (1), he shall report that election in writing to the Minister as soon as may be after the 30th June next following his election.

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