The Study Of Administrative Discretion On Taxation

Administrative discretion is one of the key subjects in the study of administrative law. Rule of law, while calling for administrative power to be exercised in accordance with law, has placed the issue of discretion on the top agenda. The present paper is an attempt to examine from the perspective of field practice, the concept of discretion, how it operates in tax administration, the problems, objectives and steps in this regard. It points out that tax discretion is an administrative power authorizing the tax collector to make within the limits of law independent judgments and decisions on taxation. Due to its extensive application along with the difficulty in exercising discretion, many a problem remained. As absolute discretion is impossible, a scientific study should therefore be introduced and rules be followed so that misuse of the power can be prevented, taxpayers' rights and interests be protected and control over it be ensured. In conclusion, the paper proposes specific measures to be taken in the regulation of tax discretion and taps the possibility of establishing a highly efficient system for tax discretion.