section 143(3)

  • Jul
  • 12

Types of Notices under Income Tax Act, 1961

Notice under Section 142(1) is usually served to call upon documents and details from the tax payers, and to take a particular case under assessment. The basic purpose is to inquire the details of the assessee before making assessment under the Act. It can be related to ‘Preliminary Investigation’ before starting the assessment.

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  • Jun
  • 30

Review u/s 254(2) only if there is a mistake apparent from the record

If the AO had reopened the assessment and made a disallowance and these facts could affect the outcome of the issue, the AO should appear before the FAA to file an explanation about the chronology of events. But, in any manner the subsequent decision taken by the AO cannot be held to be a mistake apparent from the record. As there is no mistake in the order passed by the Tribunal, prayer made by the AO under section 254(2) of the Act is rejected.

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  • Jun
  • 06

CBDT Strategy for Quality in Assessment Work

Framing of Quality Assessments is an essential part of any risk management strategy. Quality of assessments is being used as the most important indicator to judge the performance of tax department. Therefore, it is imperative that various authorities in the hierarchy of Income-tax Department discharge their respective roles in the process of assessment work with […]

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  • Jun
  • 01

Re-assessment proceedings concluded us/ 147 are invalid if notice u/s 143(2) is not issued

The issue in dispute raised in additional ground relating to non issue of the mandatory notice u/s. 143(2) of the Act is decided in favour of the assessee and we hold that the impugned assessment order dated 31.12.2009 passed u/s. 147/143(3) of the Act by the AO as invalid.

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  • Jan
  • 13

No processing of returns for I-T refund if selected for Scrutiny

Clarification regarding applicability of section 143(1D) of the Income-tax Act, 1961- Vide Finance Act, 2012, section 143(1D) was introduced in income tax act which prohibited processing of income tax returns in case notice u/s 143(2) has been issued (i.e. scrutiny cases). Ambiguity arose as to whether the said sub-section applies to those cases as well wherein refunds have been applied in the returns, however the same has been issued notice for scrutiny assessment.

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  • Nov
  • 13

Notice u/s 143(2) issued prior to filing of return in response to notice u/s 147 is invalid, even if return is filed late

Hon’ble Bangalore ITAT has in the case of Shri G.N.Mohan Raju,v/s ITO in ITA No.242 & 243(Bang) 2013 has held that notice u/s 143(2) issued prior to filing of return in response to notice u/s 147 is invalid, even if return is filed late. AO could not treat a return filed prior to issue of notice u/s 148 of the Act as a return filed by the assessee, pursuant to such notice unless and until assessee had given a direction or request on these lines.

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  • Oct
  • 15

Omission of notice u/s 143(2) of the Act is not merely a procedural irregularity

Prarthana Jalan Hon’ble Jodhpur ITAT has in the case of ITO V/s Shri Bhuvanesh Maheshwari has held that Omission of notice u/s 143(2) of the Act  is not merely a procedural irregularity and it is not curable. Facts of the case in brief are that the assessee filed his return of income belatedly on 26/03/2010 […]

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  • Oct
  • 11

FAQs on Assessments under Income-Tax Act, 1961

​What is the meaning of assessment?​ ​Every taxpayer has to furnish the details of his income to the Income-tax Department. These details are to be furnished by filing his return of income. Once the return of income is filed by the taxpayer, the next step is the processing of the return of income by the […]

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  • Mar
  • 14

Scrutiny on the basis of data in Annual Information Return (AIR)

CA. M. Lakshmanan As per notification F.No. 225/26/2006-ITA.II (Pt.) dated 8th September 2010 scope of enquiry in the scrutiny cases selected on the basis of information collected from AIR returns would be limited to the aspects of information received through AIR.

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  • Jan
  • 04

Format of details to submitted during Income Tax Assessment

We have attached a file in excel format. The file contains the format of various details which normally assessing officer asks Assessee to furnish during Scrutiny Assessment U/s. 143(3) of the Income Tax Act, 1961. We have attached the format of following details :-

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