The Federal Board of Revenue (FBR) has withdrawn the powers of Inland Revenue officers to conduct an inquiry for amending an assessment without selection of audit. The FBR while explaining major amendments made in the Income Tax Ordinance, 2001, through the Finance Act, 2021 stated that tax authorities were authorised to conduct inquiry under section 122(5A) of the Income Tax Ordinance in certain matters regarding amendment of assessment without selection of case for audit under section 177 of the Ordinance. “This power to conduct an inquiry has been withdrawn,” the FBR said. The law prescribes a time limit of five years for amendment of assessment. Such proceedings were usually dragged for long periods after issuance of show cause notices. Now the time limit of 120 days has been prescribed to conclude these proceedings after issuance of show cause notice. Necessary changes have been made in section 122(9) of the Ordinance. The power of the commissioner to reject advance tax estimates has also been withdrawn. Necessary changes have been made in section 147 of the Ordinance. Law has not provided any time limitation to complete proceedings in pursuant to the orders of the commissioner under section 122A.