How to assist a client with an amount assessed due to negligence of bookkeeper? Additional assessment was raised for the 2011 tax year (dated 3 April 2013) which is now prescribed ito Section 99(1) of the TAA. All expenditure was disallowed as the require
Important:
This answer is based on tax law for the year ending 28 February 2020.
Answer:
Based on the information provided we agree that an assessment (an amended one) may not be made because it is more than three years after the date of the original assessment.
We submit that the only option available would then be to request a reduced assessment under section 93(1)(e) of the Tax Administration Act. That requires a that the assessment was based on—
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the failure to submit a return or submission of an incorrect return by a third party under section 26 or by an employer under a tax Act;
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a processing error by SARS; or
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a return fraudulently submitted by a person not authorised by the taxpayer.