Assessment is a significant segment of teaching and learning process. There are two major types of assessment namely formative assessment and summative assessment. It makes no difference if summative assessment is termed as annual examinations. In Pakistan, still the old fashioned examinations are conducted. The system of annual examinations now need to be replaced with formative assessment because annual examinations are full of malpractices. It is because of shifting in the ways of teaching and learning process due to technological advancement. Now a days, learners learn many things from internet, TV, print and other media. But, on the other hand, teachers who need to be learning facilitators are still practicing traditional teaching. The outcome of such teaching is observed in annual examinations. Therefore, teachers, supervisors, educational administrators in order to show their fake performance, take the help of malpractices. These malpractices include letting the candidates cheat from each other, assigning extra scores on learners' answer papers, overwriting on award lists and while compiling results changing the results to increase the overall pass percentage of class, school and school district. The evidence of above mentioned malpractices is the difference between the percentage of results of internal and external examinations. It is therefore, the time to introduce the reforms in assessment system so that the fradulant tactics of responsible persons of educational process with the learners and their parents may be avoided.