If the Commissioner fails to issue a decision within the statutory timeframe, the taxpayer’s objection is automatically deemed allowed by operation of law.

“…If the Commissioner did not render a decision within the stipulated period, the objection was deemed as allowed by operation of the law. The statute required that where the Commissioner had not made an objection decision within 60 days from the date the taxpayer lodged the notice of objection, the objection was to be allowed. That meant that the issues that the taxpayer had raised in the notice of objection would be accepted. In case of a tax assessment, it would be vacated.”

Also see Boleyn Magic Panel Limited v Commissioner of Domestic Taxes (Appeal E866 of 2023) [2024] KETAT 1453 (KLR) (4 October 2024) (Judgment) Where the Tribunal found that the Respondent erred in law by failing to issue its objection decision within 60 days