CHAPTER XIV
2[R2] 139. 3[R3] (1) Every person4[R4] ,—
(a) being a company 5[R5] [or a firm]; or
(b) being a person other than a company 5[R6] [or a firm], if his total income
or the total income of any other person in respect of which he is assessable
under this Act during the previous year exceeded the maximum amount which is
not chargeable to income-tax,shall, on or before the
due date, furnish a return of his income or the income of such other person
during the previous year, in the prescribed form6[R7] and verified in the prescribed manner and
setting forth such other particulars as may be prescribed :
Provided that a person referred to in clause (b), who is not required to furnish a return under this
sub-section and residing in such area as may be specified by the Board in this
behalf by notification7 [R8] in the Official Gazette, and who7a[R9] [during the previous year incurs an expenditure
of fifty thousand rupees or more towards consumption of electricity or] at any time during the previous year fulfils any one of the following
conditions, namely :—
(i) is in
occupation of an immovable property exceeding a specified floor area, whether
by way of ownership, tenancy or otherwise, as may be specified8[R10] by
the Board in this behalf; or
(ii) is the owner or the lessee of a motor
vehicle other than a two-wheeled motor vehicle, whether having any detachable
side car having extra wheel attached to such two-wheeled motor vehicle or not;
or
9[R11] [(iii) is a subscriber to a 10[R12] [cellular telephone not being a wireless in
local loop telephone]; or]
(iv) has incurred expenditure for himself or any other person on
travel to any foreign country; or
(v) is the holder of a credit card11[R13] ,
not being an “add-on” card, issued by any bank or institution; or
(vi) is a member of a club where entrance fee
charged is twenty-five thousand rupees or more,
shall furnish a return, of his income during the
previous year, on or before the due date in the prescribed form12-13[R14] and
verified in the prescribed manner and setting forth such other particulars as
may be prescribed :
Provided further that
the Central Government may, by notification14[R15] in
the Official Gazette, specify the class or classes of persons to whom the
provisions of the first proviso shall not apply:
Provided also that every company 15[R16] [or a firm] shall furnish on or before the due date the return in respect of its income
or loss in every previous year.
The following fourth proviso shall be inserted after the
third proviso to sub-section (1) of section 139 by the Finance Act, 2005,
w.e.f. 1-4-2006 :
Provided also that every person, being an individual or a Hindu
undivided family or an association of persons or a body of individuals, whether
incorporated or not, or an artificial juridical person, if his total income or
the total income of any other person in respect of which he is assessable under
this Act during the previous year, without giving effect to the provisions of
section 10A or section 10B or section 10BA or Chapter VI-A exceeded the maximum
amount which is not chargeable to income-tax, shall, on or before the due date,
furnish a return of his income or the income of such other person during the
previous year, in the prescribed form and verified in the prescribed manner and
setting forth such other particulars as may be prescribed.
Explanation 1.—For the purposes of this sub-section, the
expression “motor vehicle” shall have the meaning assigned to it in clause (28) of section 216[R17] of
the Motor Vehicles Act, 1988 (59 of 1988).
Explanation 2.—In this sub-section, “due date” means,—
(a) where the
assessee is—
(i) a company; or
(ii) a person (other
than a company) whose accounts are required to be audited under this Act or
under any other law for the time being in force; or
(iii) a working
partner of a firm whose accounts are required to be audited under this Act or
under any other law for the time being in force,the
31st day of October of the assessment year;
(b) in the case of
a person other than a company, referred to in the first proviso to this
sub-section, the 31st day of October of the assessment year;
(c) in the case of
any other assessee, the 31st day of July of the assessment year.
Explanation 3.—For the purposes of this sub-section, the
expression “travel to any foreign country” does not include travel to the
neighbouring countries or to such places of pilgrimage as the Board may specify
in this behalf by notification17[R18] in the Official Gazette.]
18[R19] [(1A)
Without prejudice to the provisions of sub-section (1), any person, being an
individual who is in receipt of income chargeable under the head “Salaries”
may, at his option, furnish a return of his income for any previous year to his
employer, in accordance with such scheme as may be specified by the Board in
this behalf, by notification in the Official Gazette19[R20] ,
and subject to such conditions as may be specified therein, and such employer
shall furnish all returns of income received by him on or before the due date,
in such form (including on a floppy, diskette, magnetic cartridge tape, CD-ROM
or any other computer readable media) and
manner as may be specified in that scheme, and in such case, any
employee who has filed a return of his income to his employer shall be deemed
to have furnished a return of
income under sub-section (1), and the provisions of this Act shall apply
accordingly.]20[R21] [***]]
21[R22] [(1B)
Without prejudice to the provisions of sub-section (1), any person, being a
company or being a person other than a company, required to furnish a return of
income under sub-section (1), may, at his option, on or before the due date,
furnish a return of his income for any previous year in accordance with such
scheme as may be specified by the Board in this behalf by notification in the
Official Gazette22[R23] and
subject to such conditions as may be specified therein, in such form (including
on a floppy, diskette, magnetic cartridge tape, CD-ROM or any other computer
readable media) and in the manner as may be specified in that scheme, and in
such case, the return of income furnished under such scheme shall be deemed to
be a return furnished under sub-section (1), and the provisions of this Act
shall apply accordingly.]23[R24] [***]
(3) If any person who 24[R25] [***] has sustained a loss in any previous year under the head “Profits and gains of business or profession” or under the head “Capital gains” and claims that the loss or any part thereof should be carried forward under sub-section (1) of section 72, or sub-section (2) of section 73, or sub-section (1) 25[R26] [or sub-section (3)] of section 74, 26[R27] [or sub-section (3) of section 74A], he may furnish, within the time allowed under sub-section (1) 27[R28] [***], a return of loss in the prescribed form28 [R29] and verified in the prescribed manner and containing such other particulars as may be prescribed, and all the provisions of this Act shall apply as if it were a return under sub-section(1).
29[R30] [(4)
Any person who has not furnished a return within the time allowed30[R31] to
him under sub-section (1), or within the time allowed under a notice issued
under sub-section (1) of section 142, may furnish the return for any previous
year at any time30[R32]
before the expiry of one year from the end of the relevant assessment year or
before the completion of the assessment, whichever is earlier
:
Provided that where the return relates to a previous year relevant to the
assessment year commencing on the 1st day of April, 1988, or any earlier
assessment year, the reference to one year aforesaid shall be construed as a
reference to two years from the end of the relevant assessment year.]
31[R33] [32[R34] (4A)
33[R35] Every
person in receipt of income derived from property held under trust or other
legal obligation wholly for charitable or religious purposes or in part only
for such purposes, or of income being voluntary contributions referred to in
sub-clause (iia) of clause (24) of section 2, shall, if the total
income in respect of which he is assessable as a representative assessee (the
total income for this purpose being computed under this Act without giving
effect to the provisions of sections 11 and 12) exceeds the maximum amount
which is not chargeable to income-tax, furnish a return of such income of the
previous year in the prescribed form and verified in the prescribed manner and setting
forth such other particulars as may be prescribed and all the provisions of
this Act shall, so far as may be, apply as if it were a return required to be
furnished under sub-section (1).]]
34[R36] (4B)
35[R37] The
chief executive officer (whether such chief executive officer is known as
Secretary or by any other designation) of every political party shall, if the
total income in respect of which the political party is assessable (the total
income for this purpose being computed under this Act without giving effect to
the provisions of section 13A) exceeds the maximum amount which is not
chargeable to income-tax, furnish a return of such income of the previous year
in the prescribed form and verified in the prescribed manner and setting forth
such other particulars as may be prescribed and all the provisions of this Act,
shall, so far as may be, apply as if it were a return required to be furnished
under sub-section (1).]
(a) Scientific
research association referred to in clause (21) of section 10;
(b) News
agency referred to in clause (22B)
of section 10;
(c) Association
or institution referred to in clause (23A)
of section 10;
(d) Institution
referred to in clause (23B) of
section 10;
(e) fund
or institution referred to in sub-clause (iv) or trust or institution referred to in sub-clause (v) or any university or other
educational institution referred to in sub-clause (vi) or any hospital or other medical institution referred to in
sub-clause (via) of clause (23C) of section 10;
(f)
trade union referred to in
sub-clause (a) or association
referred to in sub-clause (b)
of clause (24) of section 10,shall,
if the total income in respect of which such scientific research association,
news agency, association or institution, fund or trust or university or other
educational institution or any hospital or other medical institution or trade
union is assessable, without giving effect to the provisions of section 10
exceeds the maximum amount which is not chargeable to income-tax, furnish a
return of such income of the previous year in the prescribed form37[R39] and
verified in the prescribed manner and setting forth such other particulars as
may be prescribed and all the provisions of this Act shall, so far as may be,
apply as if it were a return required to be furnished under sub-section (1).]
38[R40] (5) If any person, having
furnished a return under sub-section (1), or in pursuance of a notice issued
under sub-section (1) of section 142, discovers any omission or any wrong
statement therein, he may furnish a revised return at any time before the
expiry of one year from the end of the relevant assessment year or before the
completion of the assessment, whichever is earlier :
Provided that where the return relates to the previous year relevant to the
assessment year commencing on the 1st day of April, 1988, or any earlier
assessment year, the reference to one year aforesaid shall be construed as a
reference to two years from the end of the relevant assessment year.]
39[R41] (6) The prescribed form of the
returns referred to 40[R42] [in
sub-sections (1) and (3) of this section, and in clause (i) of sub-section (1) of section 142]
shall, in such cases as may be prescribed, require the assessee to furnish the
particulars of income exempt from tax, assets of the prescribed nature 41[R43] [,
value and belonging to him, his bank account and credit card held by him],
expenditure exceeding the prescribed limits incurred by him under prescribed
heads and such other outgoings as may be prescribed.
(6A) Without prejudice to the provisions of sub-section
(6), the prescribed form of the returns referred to 42[R44] [in 43[R45] [***]
this section, and in clause (i)
of sub-section (1) of section 142] shall, in the case of an assessee engaged in
any business or profession, also require him to furnish 44[R46] [the
report of any audit 45[R47] [referred
to in section 44AB, or, where the report has been furnished prior to the
furnishing of the return, a copy of such report together with proof of furnishing
the report], the] particulars of the location and style of the principal place
where he carries on the business or profession and all the branches thereof,
the names and addresses of his partners, if any, in such business or profession
and, if he is a member of an association or body of individuals, the names of
the other members of the association or the body of individuals and the extent
of the share of the assessee and the shares of all such partners or the
members, as the case may be, in the profits of the business or profession and
any branches thereof.]
47[R49] [48[R50] (8) (a) 49[R51] [Where
the return under sub-section (1) or sub-section (2) or sub-section (4) for an
assessment year is furnished after the specified date, or is not furnished,
then [whether or not the 50[R52] [Assessing]
Officer has extended the date for furnishing the return under sub-section (1)
or sub-section (2)], the assessee shall be liable to pay simple interest at 51[R53] [fifteen]
per cent per annum, reckoned from the day immediately following the specified
date to the date of the furnishing of the return or, where no return has been
furnished, the date of completion of the assessment under section 144, on the amount
of the tax payable on the total income as determined on regular assessment, as
reduced by the advance tax, if any, paid, and any tax deducted at source :
Provided that the 52[R54] [Assessing]
Officer may, in such cases and under such circumstances as may be prescribed53[R55] ,
reduce or waive the interest payable by any assessee under this sub-section.
Explanation 1.—For the purposes of
this sub-section, “specified date”, in relation to a return for an assessment
year, means,—
(a) in the case of
every assessee whose total income, or the total income of any person in respect
of which he is assessable under this Act, includes any income from business or
profession, the date of the expiry of four months from the end
of the previous year or where there is more than one previous year, from the
end of the previous year which expired last before the commencement of the
assessment year or the 30th day of June of the assessment year, whichever is
later;
(b) in the case of every other assessee, the 30th day of June of
the assessment year.]
54[R56] Explanation 2.—Where, in relation to an assessment year, an assessment is made for the
first time under section 147, the assessment so made shall be regarded as a
regular assessment for the purposes of this sub-section.]55[R57] [(b) Where as a result of an order
under section 147 or section 154 or section 155 or section 250 or section 254
or section 260 or section 262 or section 263 or section 264 56[R58] [or
an order of the Settlement Commission under sub-section (4) of section 245D],
the amount of tax on which interest was payable under this sub-section has been
increased or reduced, as the case may be, the interest shall be increased or
reduced accordingly, and—
(i) in a case where
the interest is increased, the 57[R59] [Assessing]
Officer shall serve on the assessee, a notice of demand in the prescribed form
specifying the sum payable, and such notice of demand shall be deemed to be a
notice under section 156 and the provisions of this Act shall apply
accordingly;
(ii) in a case where the interest is reduced, the excess interest
paid, if any, shall be refunded.]]
58[R60] (c) The provisions of this sub-section shall apply in respect of
the assessment for the assessment year commencing on the 1st day of April,
1988, or any earlier assessment year, and references therein to the other
provisions of this Act shall be construed as references to the said provisions
as they were applicable to the relevant assessment year.]
59[R61] [(9)
Where the 60[R62] [Assessing]
Officer considers that the return of income furnished by the assessee is
defective, he may intimate the defect to the assessee and give him an
opportunity to rectify the defect within a period of fifteen days from the date
of such intimation or within such further period which, on an application made
in this behalf, the 60[R63] [Assessing]
Officer may, in his discretion, allow; and if the defect is not rectified
within the said period of fifteen days or, as the case may be, the further
period so allowed, then, notwithstanding anything contained in any other
provision of this Act, the return shall be treated as an invalid return and the
provisions of this Act shall apply as if the assessee had failed to furnish the
return :
Provided that where the assessee rectifies the defect after the expiry of the
said period of fifteen days or the further period allowed, but before the
assessment is made, the 60[R64] [Assessing]
Officer may condone the
delay and treat the return as a valid return.
Explanation.—For the purposes of
this sub-section, a return of income shall be regarded as defective unless all
the following conditions are fulfilled, namely:—
(a) the annexure,
statements and columns in the return of income relating to computation of
income chargeable under each head of income, computation of gross total income
and total income have been duly filled in;
(b) the return is accompanied by a statement showing the
computation of the tax payable on the basis of the return;
61[R65] [(bb) the
return is accompanied by the report of the audit referred to in section 44AB,
or, where the report has been furnished prior to the furnishing of the return,
by a copy of such report together with proof of furnishing the report;]
(c) The return is
accompanied by proof of—
(i) The tax, if any,
claimed to have been deducted at source 62[R66] [before the 1st day of April, 63[R67] [2006]] and the advance tax and tax on self-assessment, if any, claimed to
have been paid:
64[R68] Provided
that where the return is not
accompanied by proof of the tax, if any, claimed to have been deducted at
source, the return of income shall not be regarded as defective if—
(a) A
certificate for tax deducted was not furnished under section 203 to the person
furnishing his return of income;
(b) Such
certificate is produced within a period of two years specified under
sub-section (14) of section 155;]
(ii) The
amount of compulsory deposit, if any, claimed to have been made under the
Compulsory Deposit Scheme (Income-tax Payers) Act, 1974 (38 of 1974);
(d) Where
regular books of account are maintained by the assessee, the return is
accompanied by copies of—
(i) manufacturing
account, trading account, profit and loss account or, as the case may be,
income and expenditure account or any other similar account and balance sheet;
(ii) in
the case of a proprietary business or profession, the personal account of the
proprietor; in the case of a firm, association of persons or body of
individuals, personal accounts of the partners or members; and in the case of a
partner or member of a firm, association of persons or body of individuals,
also his personal account in the firm, association of persons or body of individuals;
(e) where
the accounts of the assessee have been audited, the return is accompanied by
copies of the audited profit and loss account and balance sheet and the
auditor’s report 65[R69] [and,
where an audit of cost accounts of the assessee has been conducted, under
section 233B66[R70] of the
Companies Act, 1956 (1 of 1956), also the report under that section];
(f) where
regular books of account are not maintained by the assessee, the return is
accompanied by a statement indicating the amounts of turnover or, as the case
may be, gross receipts, gross profit, expenses and net profit of the business
or profession and the basis on which such amounts have been computed, and also
disclosing the amounts of total sundry debtors, sundry creditors, stock-in-trade
and cash balance as at the end of the previous year.](10) 67[R71] [Omitted by the Finance (No. 2) Act, 1991,
w.e.f. 1-4-1991.]
68[R72] Permanent account number69[R73] .
139A. (1)
Every person,—
(i) if
his total income or the total income of any other person in respect of which he
is assessable under this Act during any previous year exceeded the maximum
amount which is not chargeable to income-tax; or
(ii) carrying
on any business or profession whose total sales, turnover or gross receipts are
or is likely to exceed 70[R74] [five
lakh] rupees in any previous year; or
(iii) who is required to furnish a return of income under 71[R75] sub-section (4A) of section 139],and who has not been allotted a permanent account number shall, within
such time, as may be prescribed72[R76] ,
apply to the Assessing Officer for the allotment of a permanent account number.
73[R77] (1A)
Notwithstanding anything contained in sub-section (1), the Central Government
may, by notification74[R78] in the
Official Gazette, specify, any class or classes of persons by whom tax is
payable under this Act or any tax or duty is payable under any other law for
the time being in force including importers and exporters whether any tax is
payable by them or not and such persons shall, within such time as mentioned in
that notification, apply to the Assessing Officer for the allotment of a
permanent account number.]
(2) The Assessing Officer may also allot to any other person by
whom tax is payable, a permanent account number.
(3) Any person, not falling under sub-section (1) or sub-section
(2), may apply to the Assessing Officer for the allotment of a permanent
account number and, thereupon, the Assessing Officer shall allot a permanent
account number to such person forthwith.
(4) For the purpose of allotment of permanent account numbers
under the new series, the Board may, by notification75 [R79] in
the Official Gazette, specify the date from which the persons referred to in
sub-sections (1) and (2) and other persons who have been allotted permanent
account numbers and residing in a place to be specified in such notification,
shall, within such time as may be specified, apply to the Assessing Officer for
the allotment of a permanent account number under the new series and upon
allotment of such permanent account number to a person, the permanent account
number, if any, allotted to him earlier shall cease to have effect :
Provided that the persons to whom permanent account number under the new series
has already been allotted shall not apply for such number again.
(5) Every person shall—
(a) Quote such number
in all his returns to, or correspondence with, any income-tax authority;
(b) Quote such number
in all challans for the payment of any sum due under this Act;
(c) Quote such number
in all documents pertaining to such transactions as may be prescribed76[R80] by the Board in the interests of the revenue,
and entered into by him:
Provided that the Board may prescribe different dates for different transactions
or class of transactions or for different class of persons:
77[R81] Provided further that a person shall quote General Index Register Number till such time
Permanent Account Number is allotted to such person;]
(d) Intimate
the Assessing Officer any change in his address or in the name and nature of
his business on the basis of which the permanent account number was allotted to
him.
78[R82] (5A)
Every person receiving any sum or
income or amount from which tax has been deducted under the provisions of
Chapter XVIIB, shall intimate his permanent account number to the person
responsible for deducting such tax under that Chapter :79[R83] [***]
Provided further that a person referred to in this sub-section
shall intimate the General Index Register Number till such time permanent
account number is allotted to such person.
(5B) where any sum or income or amount has been paid after deducting
tax under Chapter XVIIB, every person deducting tax under that Chapter shall
quote the permanent account number of the person to whom such sum or income or
amount has been paid by him—
(i) In the statement
furnished in accordance with the provisions of sub-section (2C) of section 192;
(ii) In all certificates furnished in
accordance with the provisions of section 203;
(iii) In all returns prepared and delivered or
caused to be delivered in accordance with the provisions of section 206 to any
income-tax authority:
Provided that the Central Government may, by notification80[R84] in
the Official Gazette, specify different dates from which the provisions of this
sub-section shall apply in respect of any class or classes of persons:
Provided further that nothing contained in sub-sections (5A)
and (5B) shall apply in case of a person whose total income is not chargeable
to income-tax or who is not required to obtain permanent account number under
any provision of this Act if such person furnishes to the person responsible
for deducting tax, a declaration referred to in section 197A in the form and
manner prescribed thereunder to the effect that the tax on his estimated total
income of the previous year in which such income is to be included in computing
his total income will be nil.
(5C) every buyer 81[R85] [or licensee
or lessee] referred to in section 206C shall intimate his permanent account
number to the seller referred to in that section.
(5D) every seller collecting tax in accordance
with the provisions of section 206C shall quote the permanent account number of
every buyer 81[R86] [or
licensee or lessee] referred to in that section—
(i) In all
certificates furnished in accordance with the provisions of sub-section (5) of
section 206C;
(ii) In all returns prepared and delivered or
caused to be delivered in accordance with the provisions of sub-section (5A) or
sub-section (5B) of section 206C to an income-tax authority.]
(6) Every person receiving any document relating to a transaction
prescribed under clause (c) of
sub-section (5) shall ensure that the Permanent Account Number 82[R87] [or
the General Index Register Number] has been duly quoted in the document.
(7) No person who has already been allotted a permanent account
number under the new series shall apply, obtain or possess another permanent
account number.
The
following Explanation shall be inserted to sub-section (7) of section 139A by
the Finance Act, 2005, w.e.f. 1-4-2006 :
Explanation.—For the removal of doubts, it is hereby declared that any person, who
has been allotted a permanent account number under any
clause other than clause (iv)
of sub-section (1), shall not be required to obtain another permanent account
number and the permanent account number already allotted to him shall be deemed
to be the permanent account number in relation to fringe benefit tax.
83[R88] (8) The Board may make rules providing for—
(a) the form and the manner in which an application may be made
for the allotment of a permanent account number and the particulars which such
application shall contain;
(b) the categories of transactions in relation to which
Permanent Account Numbers 84[R89] [or
the General Index Register Number] shall be quoted by every person in the
documents pertaining to such transactions;
(c) the categories of documents pertaining to business or
profession in which such numbers shall be quoted by every person;
85[R90] (d) class
or classes of persons to whom the provisions of this section shall not apply;
(e) the form and the
manner in which the person who has not been allotted a Permanent Account Number
or who does not have General Index Register Number shall make his declaration;
(f) the manner in which the Permanent Account Number or the
General Index Register Number shall be quoted in respect of the categories of
transactions referred to in clause
(g) The time and the
manner in which the transactions referred to in clause (c)*
[R92] shall
be intimated to the prescribed authority.]
Explanation.—for the purposes of this section,—
(a) “Assessing
Officer” includes an income-tax authority who is assigned the duty of allotting
permanent account numbers;
(b) “Permanent
account number” means a number which the Assessing Officer may allot to any
person for the purpose of identification and includes a permanent account
number allotted under the new series;
(c) “Permanent
account number under the new series” means a permanent account number having
ten alphanumeric characters and issued in the form of a laminated card;]
84[R93] (d) “General Index Register Number” means a number given by an Assessing Officer to an assessee in the General Index Register maintained by him and containing the designation and particulars of the ward or circle or range of the Assessing Officer.]
86[R94] 140. The
return under 87[R95] [section 115WD or] section 139 shall be signed and verified—
88[R96] (a) in
the case of an individual,—
(i) By the
individual himself;
(ii) Where he is
absent from
(iii) Where he is
mentally incapacitated from attending to his affairs, by his guardian or any
other person competent to act on his behalf; and
(iv) Where, for any other reason, it is not possible for
the individual to sign the return, by any person duly authorised by him in this
behalf:
Provided that in a case referred to in sub-clause (ii) or sub-clause (iv),
the person signing the return holds a valid power of attorney from the
individual to do so, which shall be attached to the return;]
(b) in the case of a
Hindu undivided family, by the karta, and, where the karta is absent from India
or is mentally incapacitated from attending to his affairs, by any other adult
member of such family;
89[R97] (c) in
the case of a company, by the managing director thereof, or where for any
unavoidable reason such managing director is not able to sign and verify the
return, or where there is no managing director, by any director thereof :
90[R98] Provided that where the company is not resident in
India, the return may be signed and verified by a person who holds a valid
power of attorney from such company to do so, which shall be attached to the
return :
Provided further that,—
(a) where
the company is being wound up, whether under the orders of a court or
otherwise, or where any person has been appointed as the receiver of any assets
of the company, the return shall be signed and verified by the liquidator
referred to in sub-section (1) of section 178;
(b) Where
the management of the company has been taken over by the Central Government or
any State Government under any law, the return of the company shall be signed
and verified by the principal officer thereof;]
(cc) in
the case of a firm, by the managing partner thereof, or where for any
unavoidable reason such managing partner is not able to sign and verify the
return, or where there is no managing partner as such, by any partner thereof,
not being a minor;
(d) in the case of a local authority, by the principal officer
thereof;]
91[R99] (dd) in
the case of a political party referred to in sub-section (4B) of section
139, by the chief executive officer of
such party (whether such chief executive officer is known as secretary or by
any other designation);]
(e) in the case of any other association, by any member of the
association or the principal officer thereof; and
(f) in the case of any other person, by that person or by some
person competent to act on his behalf.
92[R100] Self-assessment.
93[R101] 140A. 94[R102] (1) Where
any tax is payable on the basis of any return required to be furnished under 95[R103] [96[R104] [section 115WD or section 115WH or] section 139 or section
142 97[R105] [or section 148 or 98[R106] [section 153A or], as the case may be, section 158BC]], after taking into account the amount of tax, if any, already paid
under any provision of this Act, 99[R107] [the assessee shall be liable to pay such tax
together with interest payable under any provision of this Act for any delay in
furnishing the return or any default or delay in payment of advance tax, before
furnishing the return and the return shall be accompanied by proof of payment
of such tax and interest.]
1[R108] Explanation.—Where the amount paid by the assessee under
this sub-section falls short of the aggregate of the tax and interest as
aforesaid, the amount so paid shall first be adjusted towards the interest
payable as aforesaid and the balance, if any, shall be adjusted towards the tax
payable.]
2[R109] (1A) For
the purposes of sub-section (1), interest payable under section 234A shall be computed on the amount of the tax on
the total income as declared in the return as reduced by the advance tax, if
any, paid and any tax deducted or collected at source.
The
following sub-section (1A) shall be substituted for the existing sub-section
(1A) of section 140A by the Finance Act, 2005, w.e.f. 1-4-2006 :
(1A) For the purposes of
sub-section (1), interest payable,—
(i) under section 234A shall be computed on the amount of the tax
on the total income as declared in the return as reduced by the advance tax, if
any, paid and any tax deducted or collected at source;
(ii) under section 115WK shall be computed on the amount of tax on
the value of the fringe benefits as declared in the return as reduced by the
advance tax, paid, if any.
(1B) For the purposes of sub-section
(1), interest payable under section 234B shall be computed on an amount equal to the assessed tax or, as the
case may be, on the amount by which the advance tax paid falls short of the
assessed tax.
Explanation.—For the purposes of this sub-section, “assessed tax” means the tax on
the total income as declared in the return as reduced by the amount of tax
deducted or collected at source, in accordance with the provisions of Chapter
XVII, on any income which is subject to such deduction or collection and which
is taken into account in computing such total income.]
(2) After a regular assessment under 3[R110] [section 115WE or section 115WF or] section 143 or section
144 4[R111] [or an assessment under 5[R112] [section 153Aor] section 158BC] has
been made, any amount paid under sub-section (1) shall be deemed to have been
paid towards such regular assessment 4[R113] [or assessment, as the case may be].
6[R114] (3) If
any assessee fails to pay the whole or any part of such tax or interest or both
in accordance with the provisions of sub-section (1), he shall, without
prejudice to any other consequences which he may incur, be deemed to be an
assessee in default in respect of the tax or interest or both remaining unpaid,
and all the provisions of this Act shall apply accordingly.]
7[R115] (4) The
provisions of this section as they stood immediately before
their amendment by the Direct Tax Laws (Amendment) Act, 1987 (4 of 1988),
shall apply to and in relation to any assessment for the assessment year
commencing on the 1st day of April, 1988, or any earlier assessment year and
references in this section to the other provisions of this Act shall be
construed as references to those provisions as for the time being in force
and applicable to the relevant assessment year.]
141. [Omitted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971.]
Provisional assessment for refund.
141A. 8[R116] [Omitted
by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Section 141A was inserted by the Finance Act,
1968, w.e.f. 1-4-1968. Original section was inserted by the Finance Act, 1963,
w.e.f. 1-4-1963 and omitted by the Finance Act, 1964, w.e.f. 1-4-1964.]
9[R117] 142.(1) For the purpose of making an assessment under
this Act, the 10[R118] [Assessing] Officer may serve on any person
who has made a return 11[R119] [under section 139 12[R120] [or
in whose case the time allowed under sub-section (1) of that section]
for furnishing the return has expired] a notice requiring him, on a date to
be therein specified,—
13[R121] (i) where such person has not made a
return 14[R122] [within the time allowed under sub-section (1)
of section 139], to furnish a
return of his income or the income of any other person in respect of which he
is assessable under this Act, in the prescribed form and verified in the
prescribed manner15[R123] and setting forth
such other particulars
as may be prescribed, or]
16[R124] (ii)] to produce, or cause to be produced,
such accounts or documents as the 17[R125] [Assessing] Officer may require, or
18[R126] (iii)] 19[R127] to furnish in writing and verified in the
prescribed manner information in such form and on such points or matters
(including a statement of all assets and liabilities of the assessee, whether
included in the accounts or not) as the 20[R128] [Assessing] Officer may require :
Provided that—
(a) the previous approval of the 21[R129] [Joint Commissioner] shall be obtained before
requiring the assessee to furnish a statement of all assets and liabilities not
included in the accounts ;
(b) the 22[R130] [Assessing] Officer shall not require the
production of any accounts relating to a period more than three years prior to
the previous year.
(2) For the purpose of obtaining full information in respect of
the income or loss of any person, the 22[R131] [Assessing] Officer may make such inquiry as he considers
necessary.
23[R132] (2A) 24[R133] If, at any stage of the proceedings before
him, the 25[R134] [Assessing] Officer, having regard to the
nature and complexity26[R135] of the accounts of the assessee and the
interests of the revenue, is of the opinion that it is necessary so to do, he
may, with the previous approval of the 27[R136] [Chief Commissioner or Commissioner], direct
the assessee to get the accounts audited by an accountant, as defined in the Explanation below sub-section (2) of section
288, nominated by the 27[R137] [Chief Commissioner or Commissioner] in this
behalf and to furnish a report of such audit in the prescribed form28[R138] duly signed and verified by such accountant
and setting forth such particulars as may be prescribed and such other
particulars as the
29[R139] [Assessing] Officer may require.
(2B) The provisions of sub-section (2A) shall have effect
notwithstanding that the accounts of the assessee have been audited under any
other law for the time being in force or otherwise.
(2C) Every report under sub-section (2A) shall be furnished by the
assessee to the 29[R140] [Assessing] Officer within such period as may
be specified by the 29[R141] [Assessing] Officer :
Provided that the 29[R142] [Assessing] Officer may, on an application
made in this behalf by the assessee and for any good and sufficient reason,
extend the said period by such further period or periods as he thinks fit ; so, however, that the aggregate of the period
originally fixed and the period or periods so extended shall not, in any case,
exceed one hundred and eighty days from the date on which the direction under
sub-section (2A) is received by the assessee.
(2D) The expenses of, and incidental to, any audit under sub-section
(2A) (including the remuneration of the accountant) shall be determined by the 30[R143] [Chief Commissioner or Commissioner] (which
determination shall be final) and paid by the assessee and in default of such
payment, shall be recoverable from the assessee in the manner provided in
Chapter XVII-D for the recovery of arrears of tax.]
(3) The assessee shall, except where the assessment is made under section
144, be given an opportunity of being
heard in respect of any material gathered on the basis of any inquiry under
sub-section (2) 31[R144] [or any audit under sub-section (2A)] and
proposed to be utilised for the purposes of the assessment.
32[[R145] (4) The
provisions of this section as they stood immediately before their amendment by
the Direct Tax Laws (Amendment) Act, 1987 (4 of 1988), shall apply to and in
relation to any assessment for the assessment year commencing on the 1st day of
April, 1988, or any earlier assessment year and references in this section to
the other provisions of this Act shall be construed as references to those
provisions as for the time being in force and applicable to the relevant
assessment year.]
33[R146] Estimate
by Valuation Officer in certain cases.
142A.(1) For the purposes of
making an assessment or reassessment under this Act, where an estimate of the
value of any investment referred to in section 69 or section 69B or the
value of any bullion, jewellery or other valuable article referred to in section
69A or section 69B is required to be made, the Assessing Officer
may require the Valuation Officer to make an estimate of such value and report
the same to him.
(2) The Valuation Officer to whom a reference is made under
sub-section (1) shall, for the purposes of dealing with such reference, have
all the powers that he has under section 38A of the Wealth-tax Act, 1957 (27 of
1957).
(3) On receipt of the report from the Valuation Officer, the
Assessing Officer may, after giving the assessee an opportunity of being heard,
take into account such report in making such assessment or reassessment:
Provided that
nothing contained in this section shall apply in respect of an assessment made
on or before the 30th day of September, 2004, and where such assessment has become
final and conclusive on or before that date, except in cases where a
reassessment is required to be made in accordance with the provisions of section
153A.
Explanation.—In this section, “Valuation Officer” has the
same meaning as in clause (r)
of section 2 of the Wealth-tax Act, 1957 (27 of 1957).]
36[R149] 143.37[R150] [(1) Where
a return has been made under section 139, or in response to
a notice under sub-section (1) of section 142,—
(i) if any tax or interest
is found due on the basis of such return, after adjustment of any tax deducted
at source, any advance tax paid, any tax paid on self-assessment and any amount
paid otherwise by way of tax or interest, then, without prejudice to the
provisions of sub-section (2)38[R151] , an intimation shall be sent to the assessee
specifying the sum so payable, and such intimation shall be deemed to be a
notice of demand issued under section
156 and all the provisions of this Act
shall apply accordingly; and
(ii) if any refund is due on the basis of such return, it shall
be granted to the assessee and an intimation to this effect shall be sent to
the assessee :
Provided that except as otherwise provided in this
sub-section, the acknowledgement of the return shall be deemed to be an
intimation under this sub-section where either no sum is payable by the
assessee or no refund is due to him :
Provided further that no intimation under this sub-section
shall be sent after the expiry of 39[R152] [one year from the end of the financial year
in which the return is made :]
40[R153] Provided also that where the return made is in respect of the
income first assessable in the assessment year commencing on the 1st day of April,
1999, such intimation may be sent at any time up to the 31st day of March,
2002.]
(1A) 41[R154] [Omitted by the Finance Act,
1999, w.e.f. 1-6-1999.]
(1B) 42[R155] [Omitted by the Finance Act,
1999, w.e.f. 1-6-1999.]
43[R156] (2) Where
a return has been furnished under section 139, or in response to a notice under sub-section (1) of section 142, the Assessing Officer shall,—
(i) where he has
reason to believe that any claim of loss, exemption, deduction, allowance or
relief made in the return is inadmissible, serve on the assessee a notice
specifying particulars of such claim of loss, exemption, deduction, allowance
or relief and require him, on a date to be specified therein to produce, or
cause to be produced, any evidence or particulars specified therein or on which
the assessee may rely, in support of such claim:
44[R157] Provided that no notice under this clause shall be served on the assessee on or
after the 1st day of June, 2003;]
(ii) notwithstanding anything contained
in clause (i), if he considers
it necessary or expedient to ensure that the assessee has not understated the
income or has not computed excessive loss or has not under-paid the tax in any
manner, serve on the assessee a notice requiring him, on a date to be specified
therein, either to attend his office or to produce, or cause to be produced,
any evidence on which the assessee may rely in support of the return:
Provided that no notice under 45[R158] [clause (ii)] shall be served on the assessee after the expiry of twelve
months from the end of the month in which the return is furnished.]
46[R159] (3) On the day specified in the notice,—
(i) issued under
clause (i) of sub-section (2),
or as soon afterwards as may be, after hearing such evidence and after taking
into account such particulars as the assessee may produce, the Assessing
Officer shall, by an order in writing, allow or reject the claim or claims
specified in such notice and make an assessment determining the total income or
loss accordingly, and determine the sum payable by the assessee on the basis of
such assessment;
(ii) issued under
clause (ii) of sub-section (2),
or as soon afterwards as may be, after hearing such evidence as the assessee
may produce and such other evidence as the Assessing Officer may require on
specified points, and after taking into account all relevant material which he
has gathered, the Assessing Officer shall, by an order in writing, make an
assessment of the total income or loss of the assessee, and determine the sum
payable by him or refund of any amount due to him on the basis of such
assessment:]
47[R160] Provided that in the case of a—
(a) Scientific
research association referred to in clause (21) of section 10;
(b) News
agency referred to in clause (22B)
of section 10;
(c) Association
or institution referred to in clause (23A)
of section 10;
(d) Institution
referred to in clause (23B) of section
10;
(e) Fund
or institution referred to in sub-clause (iv) or trust or institution referred to in sub-clause (v) or any university or other
educational institution referred to in sub-clause (vi) or any hospital or other medical institution referred to in
sub-clause (via) of clause (23C) of section 10,which is required to furnish the return of
income under sub-section (4C) of section 139, no order making an assessment of the total income or loss of such
scientific research association, news agency, association or institution or
fund or trust or university or other educational institution or any hospital or
other medical institution, shall be made by the Assessing Officer, without
giving effect to the provisions of section 10, unless—
(i) the
Assessing Officer has intimated the
Central Government or the prescribed authority the contravention of the
provisions of clause (21) or
clause (22B) or clause (23A) or clause (23B) or sub-clause (iv) or sub-clause (v) or sub-clause (vi) or sub-clause (via) of clause (23C) of section 10, as the case may be, by such scientific
research association, news agency, association or institution or fund or trust or university or other educational institution or
any hospital or other medical institution, where in his view such contravention
has taken place; and
(ii) The
approval granted to such scientific research association or other association
or institution or university or other educational institution or hospital or
other medical institution has been withdrawn or notification issued in respect
of such news agency or fund or trust or institution has been rescinded.]
48[R161] (4) Where
a regular assessment under sub-section (3) of this section or section
144 is made,—
(a) Any tax or
interest paid by the assessee under sub-section (1) shall be deemed to have
been paid towards such regular assessment;
(b) If no refund is
due on regular assessment or the amount refunded under sub-section (1) exceeds
the amount refundable on regular assessment, the whole or the excess amount so
refunded shall be deemed to be tax payable by the assessee and the provisions
of this Act shall apply accordingly.
(5) 49[R162] [Omitted
by the Finance Act, 1999, w.e.f. 1-6-1999.]]50[R163] [* * *]
51[R164] 144. 52[R165] (1)] If
any person—
(a) fails to make the return required 53[R166] [under sub-section (1) of section 139] and has not made a return or a revised return
under sub-section (4) or sub-section (5) of that section, or
(b) fails to comply with all the terms of a notice issued under
sub-section (1) of section 142 54[R167] [or fails to comply with a direction issued
under sub-section (2A) of that section], or
(c) having
made a return, fails to comply with all the terms of a notice issued under
sub-section (2) of section 143,the
55[R168] [Assessing] Officer, after taking into account
all relevant material which the 55[R169] [Assessing] Officer has gathered, 56[R170] [shall, after giving the assessee an
opportunity of being heard, make the assessment 57[R171] ] of the total income or loss to the best of
his judgment and determine the sum payable by the assessee 58[R172] [* * *] on the basis of such assessment :
59[R173] Provided that such opportunity shall be given by the Assessing Officer by
serving a notice calling upon the assessee to show cause, on a date and time to
be specified in the notice, why the assessment should not be completed to the
best of his judgment :
Provided further that it shall not be necessary to give such
opportunity in a case where a notice under sub-section (1) of section
142has been issued prior to the making
of an assessment under this section.]
60[R174] (2) The
provisions of this section as they stood immediately before their amendment by
the Direct Tax Laws (Amendment) Act, 1987 (4 of 1988), shall apply to and in
relation to any assessment for the assessment year commencing on the 1st day of
April, 1988, or any earlier assessment year and references in this section to
the other provisions of this Act shall be construed as references to those
provisions as for the time being in force and applicable to the relevant
assessment year.]
61[R175] Power
of 62[R176] [Joint
Commissioner] to issue
directions in certain cases.
63[R177] 144A. 64[R178] [* * *] A 62[R179] [Joint Commissioner] may, on his own motion or
on a reference being made to him by the 65[R180] [Assessing] Officer or on the application of
an assessee, call for and texamine the record of any proceeding in which an
assessment is pending and, if he considers that, having regard to the nature of
the case or the amount involved or for any other reason, it is necessary or
expedient so to do, he may issue such directions as he thinks fit for the
guidance of the 65[R181] [Assessing] Officer to enable him to complete
the assessment and such directions shall be binding on the 65[R182] [Assessing] Officer :
Provided that no directions which are prejudicial to the assessee shall be
issued before an opportunity is given to the assessee to be heard.
Explanation.—For the purposes of this 66[R183] [section] no direction as to the lines on
which an investigation connected with the assessment should be made67[R184] , shall be deemed to be a direction
prejudicial to the assessee.68[R185] [* * *]]
Reference
to Deputy Commissioner in certain cases.
144B. 69[R186] [Omitted
by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Original section
144B was inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976.]
70[R187] Method of
accounting.71[R188]
145.(1) Income
chargeable under the head “Profits and gains of business or profession” or “Income
from other sources” shall, subject to the provisions of sub-section (2), be
computed in accordance with either cash or mercantile system of accounting
regularly71[R189] employed by the assessee.
(2) The
Central Government may notify in the Official Gazette72[R190] from time to time accounting standards to be followed by any class of
assessees or in respect of any class of income.
(3)
Where the Assessing Officer is
not satisfied about the correctness or completeness of the accounts of the
assessee, or where the method of accounting provided in sub-section (1) or
accounting standards as notified under sub-section (2), have
not been regularly followed by the assessee, the Assessing Officer may make an
assessment in the manner provided in section 144.]
73[R191] Method
of accounting in certain cases.
145A. Notwithstanding anything to the contrary contained in section 145, the valuation of purchase and sale of goods
and inventory for the purposes of determining the income chargeable under the
head “Profits and gains of business or profession” shall be—
(a) in accordance with the method of accounting regularly
employed by the assessee; and
(b) further adjusted
to include the amount of any tax, duty, cess or fee (by whatever name called)
actually paid or incurred by the assessee to bring the goods to the place of
its location and condition as on the date of valuation.
Explanation.— For the purposes of this section, any tax,
duty, cess or fee (by whatever name called) under any law for the time being in
force, shall include all such payment notwithstanding any right arising as a
consequence to such payment.]
Reopening of
assessment at the instance of the assessee.
146. 74[R192] [Omitted
by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.]
75[R193] Income
escaping assessment.
76[R194] 147. If the 77[R195] [Assessing] Officer 78[R196] [has reason to believe79[R197] ] that any income chargeable to tax has escaped assessment79[R198] for any assessment year, he may, subject to
the provisions of sections 148 to 153, assess or reassess79[R199] such income and also any other income
chargeable to tax which has escaped assessment and which comes to his notice
subsequently in the course of the proceedings under this section, or recompute
the loss or the depreciation allowance or any other allowance, as the case may
be, for the assessment year concerned (hereafter in this section and in sections
148 to 153 referred to as the relevant assessment year) :
Provided that where an assessment under sub-section (3) of section 143 or this section has been made for the
relevant assessment year, no action shall be taken under this section after the
expiry of four years from the end of the relevant assessment year, unless any
income chargeable to tax has escaped assessment for such assessment year by
reason of the failure79 [R200] on the part of the assessee to make a return
under section 139 or in response
to a notice issued under sub-section (1) of section 142 or section 148 or to disclose fully and truly all material facts80[R201] necessary for his assessment, for that
assessment year.
Explanation 1.—Production before the Assessing Officer of
account books or other evidence from which material evidence could with due
diligence have been discovered by the Assessing Officer will not necessarily80[R202] amount to disclosure within the meaning of
the foregoing proviso.
Explanation 2.—For the purposes of this section, the
following shall also be deemed to be cases where income chargeable to tax
has escaped assessment, namely :—
(a) where no return
of income has been furnished by the assessee although his total income or the
total income of any other person in respect of which he is assessable under
this Act during the previous year exceeded the maximum amount which is not
chargeable to income-tax ;
(b) where a return of income has been furnished by the assessee
but no assessment has been made and it is noticed by the Assessing Officer that
the assessee has understated the income or has claimed excessive loss,
deduction, allowance or relief in the return ;
(c) where an assessment has been made, but—
(i) income chargeable to tax has been under assessed ; or
(ii) such income has been assessed at too low a rate ; or
(iii) such income has been made the subject of excessive relief
under this Act ; or
(iv) excessive loss or depreciation allowance or any other
allowance under this Act has been computed.]
81[R203] Issue
of notice where income has escaped assessment.
82[R204] 148. 83[R205] (1)]
Before making the assessment, reassessment or recomputation under section
147, the Assessing Officer shall serve84[R206] on the assessee a notice requiring him to
furnish within such period, 85[R207] [* * *] as may be specified in the notice, a
return of his income or the income of any other person in respect of which he is
assessable under this Act during the previous year corresponding to the
relevant assessment year, in the prescribed form and verified in the prescribed
manner and setting forth such other particulars as may be prescribed; and the
provisions of this Act shall, so far as may be86[R208] , apply accordingly as if such return were a
return required to be furnished under section 139.]
87[R209] (2) The
Assessing Officer shall, before issuing any notice under this section, record
his reasons for doing so.]
149. 88[R210] [(1) No notice under section 148 shall be issued 89[R211] for the relevant assessment year,—
90[R212] (a) if four years have elapsed from the end of the relevant
assessment year, unless the case falls under clause (b);
(b) if four years, but not more than six
years, have elapsed from the end of the relevant assessment year unless the
income chargeable to tax which has escaped assessment amounts to or is likely
to amount to one lakh rupees or more91[R213] for that year.]
Explanation.—In determining income chargeable to tax
which has escaped assessment for the purposes of this sub-section, the
provisions of Explanation 2 of section
147 shall apply as they apply for the purposes of that section.]
(2) The
provisions of sub-section (1) as to the issue of notice shall be subject to the
provisions of section 151
(3) If the person on whom a notice under
section 148 is to be served is a person treated as the agent of a non-resident
under section 163 and the assessment, reassessment or recomputation to be made
in pursuance of the notice is to be made on him as the agent of such
non-resident, the notice shall not be issued after the expiry of a period of
two years from the end of the relevant assessment year.
Provision
for cases where assessment is in pursuance of an order on appeal, etc.
150. (1) Notwithstanding
anything contained in section 149,
the notice under section 148 may be
issued at any time for the purpose of making an assessment or reassessment or
recomputation in consequence of or to give effect to any finding or direction
contained in an order passed by any authority in any proceeding under this Act
by way of appeal, reference or revision 92[R214] [or by a Court in any proceeding under any
other law].
(2) The provisions of sub-section (1) shall not apply in any
case where any such assessment, reassessment or recomputation as is referred to
in that sub-section relates to an assessment year in respect of which an
assessment, reassessment or recomputation could not have been made at the time
the order which was the subject-matter of the appeal, reference or revision, as
the case may be, was made by reason of any other provision limiting the time
within which any action for assessment, reassessment or recomputation may be
taken.
93[R215] Sanction
for issue of notice.
151. (1) In a case where an assessment under
sub-section (3) of section 143 or
Section 147 has been made for the
relevant assessment year, no notice shall be issued under section 148 94[R216] [by an Assessing Officer, who is below the
rank of Assistant Commissioner 95[R217] [or Deputy Commissioner], unless the 96[R218] [Joint] Commissioner is satisfied on the
reasons recorded by such Assessing Officer that it is a fit case for the issue
of such notice] :
Provided that, after the expiry of four years from the end of the relevant
assessment year, no such notice shall be issued unless the Chief Commissioner
or Commissioner is satisfied, on the reasons recorded by the Assessing Officer
aforesaid, that it is a fit case for the issue of such notice.
(2) In a case other than a case falling under sub-section (1),
no notice shall be issued under section 148 by an Assessing
Officer, who is below the rank of 96[R219] [Joint] Commissioner, after the expiry of four
years from the end of the relevant assessment year, unless the 96[R220] [Joint] Commissioner is satisfied, on the
reasons recorded by such Assessing Officer, that it is a fit case for the issue
of such notice.]
152. (1) In
an assessment, reassessment or recomputation made under section 147, the tax shall be chargeable at the rate or
rates at which it would have been charged had the income not escaped
assessment.
(2) Where an assessment is reopened 97[R221] [under section 147], the assessee may, if he has not impugned
any part of the original assessment order for that year either under sections
246 to 248 or under section 264,
claim that the proceedings under section 147 shall be dropped on his showing that he had been assessed on an amount
or to a sum not lower than what he would be rightly liable for even if the
income alleged to have escaped assessment had been taken into account, or the
assessment or computation had been properly made :
Provided that in so doing he shall not be entitled to reopen matters concluded
by an order under section 154, 155, 260, 262, or 263.
Time limit
for completion of assessments and reassessments.
153.98[R222] [(1) No
order of assessment99[R223] shall be made under section 143 or section 144 at any time after the expiry of—
(a) two
years from the end of the assessment year in which the income was first assessable ; or
(b) one
year from the end of the financial year in which a return or a revised return
relating to the assessment year commencing on the 1st day of April, 1988, or
any earlier assessment year, is filed under sub-section (4) or sub-section (5)
of section 139,whichever is
later.]
The following sub-sections (1A)
and (1B) shall be inserted after sub-section (1) of section 153 by the Finance
Act, 2005, w.e.f. 1-4-2006 :
(1A) No order of assessment shall be made under section 115WE or section 115WF at any time after the expiry of two years from the end of the
assessment year in which the fringe benefits were first assessable.
(1B) No order of assessment or reassessment shall
be made under section 115WG after the expiry
of one year from the end of the financial year in which the notice under section 115WH was served.
1[R224] (2) No
order of assessment, reassessment or recomputation shall be made under section
147 after the expiry of 2[R225] [one year] from the end of the financial year
in which the notice under section 148 was served :
3[R226] Provided that where the notice under section 148 was served on or after the 1st day of April, 1999 but before the 1st
day of April, 2000, such assessment, reassessment or recomputation may be made
at any time up to the 31st day of March, 2002.]
4[R227] (2A) Notwithstanding
anything contained in sub-sections (1) 5[R228] [(1A), (1B),] and (2), in relation to
the assessment year commencing on the 1st day of April, 1971, and any
subsequent assessment year, an order of fresh assessment in pursuance of an
order under section 250 or section
254 or section 263 or section 264, setting aside or cancelling an assessment, may be made at any time
before the expiry of one year from the end of the financial year in which the
order under section 250 or section
254 is received by the Chief
Commissioner or Commissioner or, as the case may be, the order under section
263 or section 264 is passed by the Chief Commissioner or
Commissioner:
Provided that where the order under section 250 or section 254 is
received by the Chief Commissioner or Commissioner or, as the case may be, the
order under section 263 or section
264 is passed by the Chief Commissioner
or Commissioner, on or after the 1st day of April, 1999 but before the 1st day
of April, 2000, such an order of fresh assessment may be made at any time up to
the 31st day of March, 2002.]
(3) The provisions of sub-sections (1) 5[R229] [, (1A), (1B)] and (2) shall not apply to the
following classes of assessments, reassessments and recomputation which may, 6[R230] [subject to the provisions of sub-section
(2A),] be completed at any time—
(ii) where the
assessment, reassessment or recomputation is made on the assessee or any person8 [R232] in consequence of or to give effect to8[R233] any
finding or direction 9[R234] contained in an order under section
250, 254, 260, 262, 263, or 264 10[R235] [or in an order of any court in a proceeding
otherwise than by way of appeal or reference under this Act]
;
(iii) where, in the case of a firm, an assessment is made on a
partner of the firm in consequence of an assessment made on the firm under section
147.
11[R236] Explanation 1.—In computing the
period of limitation for the purposes of this section—
(i) the time taken in reopening the whole or any part of the
proceeding or in giving an opportunity to the assessee to be re-heard under the
proviso to section 129, or
(ii) the period during which the assessment proceeding12[R237] is stayed by an order or injunction of any
court, or
13[R238] [(iia)
the period commencing from the date
on which the Assessing Officer intimates
the Central Government or the prescribed authority, the contravention of
the provisions of clause (21)
or clause (22B) or clause (23A) or clause (23B) or sub-clause (iv) or sub-clause (v) or sub-clause (vi) or sub-clause (via) of clause (23C) of section 10, under clause (i) of the proviso to sub-section (3) of section 143 and ending with the date on which the copy of
the order withdrawing the approval or rescinding the notification, as the case
may be, under those clauses is received by the Assessing Officer;]
(iii) the period
commencing from the date on which the 14[R239] [Assessing] Officer directs the assessee to
get his accounts audited under sub-section (2A) of section 142 and ending with 15[R240] [the last date on which the assessee is
required to furnish] a report of such audit under that sub-section, or
17[R242] (iva) the period (not exceeding sixty days)
commencing from the date on which the 18[R243] [Assessing] Officer received the declaration
under sub-section (1) of section 158A and ending with the date on which the order under sub-section (3) of
that section is made by him, or]
(v) in a case where
an application made before the Income-tax Settlement Commission under section
245C is rejected by it or is not allowed
to be proceeded with by it, the period commencing from the date on which such
application is made and ending with the date on which the order under
sub-section (1) of section 245D
is received by the Commissioner under sub-section (2) of that section, 19[R244] [or]
19[R245] (vi) the period commencing from the date on
which an application is made before the Authority for Advance Rulings under
sub-section (1) of section 245Q
and ending with the date on which the order rejecting the application is
received by the Commissioner under sub-section (3) of section 245R, or
(vii) the period
commencing from the date on which an application is made before the Authority
for Advance Rulings under sub-section (1) of section 245Q and ending with the date on which the advance
ruling pronounced by it is received by the Commissioner under sub-section (7)
of section 245R,]shall be
excluded :
20[R246] Provided that where immediately after the exclusion of the aforesaid time or
period, the period of limitation referred to in sub-sections (1), 20a[R247] [(1A), (1B),] (2) and (2A)
available to the Assessing Officer for making an order of assessment,
reassessment or recomputation, as the case may be, is less than sixty days, such
remaining period shall be extended to sixty days and the aforesaid period of
limitation shall be deemed to be extended accordingly.]
Explanation 2.—Where, by an order 21[R248] [referred to in clause (ii) of sub-section (3)], any income
is excluded from the total income of the assessee for an assessment year, then,
an assessment of such income for another assessment year shall, for the
purposes of section 150 and this
section, be deemed to be one made in consequence of or to give effect to any
finding or direction contained in the said order.
Explanation 3.—Where, by an order 21[R249] [referred to in clause (ii) of sub-section (3)], any income
is excluded from the total income of one person and held to be the income of
another person22[R250] , then, an assessment of such income on such
other person shall, for the purposes of section 150 and this section, be deemed to be one made in
consequence of or to give effect to any finding or direction contained in the
said order, provided such other person was given an opportunity of being heard
before the said order was passed.
23[R251] Assessment
in case of search or requisition.
153A. Notwithstanding
anything contained in section 139,
section 147, section 148, section 149, section 151 and section
153, in the case of a person where a
search is initiated under section 132 or books of account, other documents or any assets are requisitioned
under section 132A after the 31st
day of May, 2003, the Assessing Officer shall—
(a) issue notice to
such person requiring him to furnish within such period, as may be specified in
the notice, the return of income in respect of each assessment year falling
within six assessment years referred to in clause (b), in the prescribed form and verified in the prescribed manner
and setting forth such other particulars as may be prescribed and the
provisions of this Act shall, so far as may be, apply accordingly as if such
return were a return required to be furnished under section 139;
(b) assess or reassess the total income of six assessment years
immediately preceding the assessment year relevant to the previous year in
which such search is conducted or requisition is made :
Provided
that the Assessing
Officer shall assess or reassess the total income in respect of each assessment
year falling within such six assessment years:
Provided further that
assessment or reassessment, if any, relating to any assessment year falling
within the period of six assessment years referred to in this section pending
on the date of initiation of the search under section 132 or making of requisition under section
132A, as the case may be, shall abate.
Explanation.—For the removal of
doubts, it is hereby declared that,—
(i) save as otherwise provided in this section, section
153 and section 153C, all other provisions of this Act shall apply
to the assessment made under this section;
(ii) in an assessment or reassessment made in respect of an
assessment year under this section, the tax shall be chargeable at the rate or
rates as applicable to such assessment year.
Time-limit for completion of assessment under section 153A.
153B.(1) Notwithstanding
anything contained in section 153,
the Assessing Officer shall make an order of assessment or reassessment,—
(a) in respect of
each assessment year falling within six assessment years referred to in clause
(b) of section 153A, within a period of two years from the end of
the financial year in which the last of the authorisations for search under section
132 or for requisition under section
132A was executed;
(b) in respect of the
assessment year relevant to the previous year in which search is conducted
under section 132 or requisition
is made under section 132A,
within a period of two years from the end of the financial year in which the
last of the authorisations for search under section 132 or for requisition under section 132A was executed :
24[R252] Provided that in case of other person
referred to in section
153C,
the period of limitation for making the assessment or reassessment shall be the
period as referred to in clause (a) or clause (b) of this sub-section or one year from the end of the financial year in
which books of account or documents or assets seized or requisitioned are
handed over under section
153C
to the Assessing Officer having jurisdiction over such other person, whichever
is later.]
Explanation.—In computing the period of limitation for the purposes of
this section,—
(i) the period during which the assessment proceeding is stayed
by an order or injunction of any court; or
(ii) the
period commencing from the day on which the Assessing Officer directs the
assessee to get his accounts audited under sub-section (2A) of section
142 and ending on the day on which the
assessee is required to furnish a report of such audit under that sub-section;
or
(iii) the time taken in reopening the whole or any part of the
proceeding or in giving an opportunity to the assessee of being re-heard under
the proviso to section 129; or
(iv) in a case where an application made
before the Settlement Commission under section 245C is rejected by it or is not allowed to be
proceeded with by it, the period commencing from the date on which such
application is made and ending with the date on which the order under
sub-section (1) of section 245D
is received by the Commissioner under sub-section (2) of that section, 25[R253] [or]
25[R254] (v) the period commencing from the date on
which an application is made before the Authority for Advance Rulings under
sub-section (1) of section 245Q and
ending with the date on which the order rejecting the application is received
by the Commissioner under sub-section (3) of section 245R, or
(vi) the
period commencing from the date on which an application is made before the
Authority for Advance Rulings under sub-section (1) of section 245Q and ending with the date on which the advance
ruling pronounced by it is received by the Commissioner under sub-section (7)
of section 245R,]shall be
excluded :
Provided that where immediately after the exclusion of
the aforesaid period, the period of limitation referred to in clause (a) or clause (b) of this section*[R255] available to the Assessing Officer for making
an order of assessment or reassessment, as the case may be, is less than sixty
days, such remaining period shall be extended to sixty days and the aforesaid
period of limitation shall be deemed to be extended accordingly.
(2) The authorisation referred to in clause (a) and clause (b) of sub-section (1) shall be deemed
to have been executed,—
(a) in the case of search, on the conclusion
of search as recorded in the last panchnama drawn in relation to any person in
whose case the warrant of authorisation has been issued;
(b) in the case of
requisition under section 132A,
on the actual receipt of the books of account or other documents or assets by
the Authorised Officer.
Assessment of income of any other person.
153C.26[R256] (1)] Notwithstanding anything contained in section 139, section 147, section
148, section 149, section 151 and section 153, where the Assessing
Officer is satisfied that any money, bullion, jewellery or other valuable
article or thing or books of account or documents seized or requisitioned
belongs or belong to a person other than the person referred to in section
153A, then the books of account or documents or assets seized or
requisitioned shall be handed over to the Assessing Officer having jurisdiction
over such other person and that Assessing Officer shall proceed against each
such other person and issue such other person notice and assess or reassess
income of such other person in accordance with the provisions of section
153A :]
26[R257] Provided that in case of such
other person, the reference to the date of initiation of the search under section
132 or making of requisition under section 132A in the second
proviso to section 153A shall be construed as reference to the
date of receiving the books of account or documents or assets seized or
requisitioned by the Assessing Officer having jurisdiction over such other person.
(2) Where books of account or documents or
assets seized or requisitioned as referred to in sub-section (1) has or have
been received by the Assessing Officer having jurisdiction over such other
person after the due date for furnishing the return of income for the
assessment year relevant to the previous year in which search is conducted
under section 132 or requisition is made under section 132A and in respect of
such assessment year—
(a) no return of income has been furnished by such other person
and no notice under sub-section (1) of section 142 has been issued to
him, or
(b) a return of income has been furnished by such other person
but no notice under sub-section (2) of section 143 has been served and
limitation of serving the notice under sub-section (2) of section 143 has
expired, or
(c) Assessment
or reassessment, if any, has been made,Before
the date of receiving the books of account or documents or assets seized or
requisitioned by the Assessing Officer having jurisdiction over such other
person, such Assessing Officer shall issue the notice and assess or reassess
total income of such other person of such assessment year in the manner
provided in section 153A.]
27[R258] 154.28[R259] (1) With
a view to rectifying any mistake apparent from the record29[R260] an income-tax authority referred to in section
116 may,—
(a) amend any order passed by it under the provisions of this
Act ;
30[R261] (b) amend any
intimation or deemed intimation under sub-section (1) of section 143.]]
31[R262] (1A) Where any matter has been considered and
decided in any proceeding by way of appeal or revision relating to an order
referred to in sub-section (1), the authority passing such order may,
notwithstanding anything contained in any law for the time being in force,
amend the order under that sub-section in relation to any matter other than the
matter which has been so considered and decided.]
(2) Subject to the other provisions of this
section, the authority concerned—
(a) may make an amendment under sub-section (1) of its own
motion, and
(b) shall make such amendment for rectifying any such mistake
which has been brought to its notice by the assessee, and where the authority
concerned is the 32[R263] [***] 33[R264] [Commissioner (Appeals)], by the 34[R265] [Assessing] Officer also.35[R266] [* * *]
(3) An amendment, which has the effect of
enhancing an assessment or reducing a refund or otherwise increasing the
liability of the assessee, shall not be made under this section unless the
authority concerned has given notice to the assessee of its intention so to do
and has allowed the assessee a reasonable opportunity of being heard.
(4) Where an amendment is made under this
section, an order shall be passed in writing by the income-tax authority
concerned.
(5) Subject to the provisions of section
241, where any such amendment has the
effect of reducing the assessment, the 36[R267] [Assessing] Officer shall make any refund which may be due to
such assessee.
(6) Where any such amendment has the effect
of enhancing the assessment or reducing a refund already made, the 36[R268] [Assessing] Officer shall serve on the
assessee a notice of demand in the prescribed form specifying the sum payable37[R269] , and such notice of demand shall be deemed to
be issued under section 156 and the provisions of this Act shall apply
accordingly.
(7) Save as otherwise provided in section
155 or sub-section (4) of section 186 no
amendment under this section shall be made after the expiry of four years 38[R270] [from the end of the financial year in which
the order39[R271] sought to be amended was passed.]
40[R272] (8) Without
prejudice to the provisions of sub-section (7), where an application for amendment under
this section is made by the assessee on or after the 1st day of June, 2001 to
an income-tax authority referred to in sub-section (1), the authority shall
pass an order, within a period of six months from the end of the month in which
the application is received by it,—
(a) making the amendment; or
(b) refusing to allow the claim.]
155.(1) 41[R273] [Where, in respect of any completed assessment42[R274] of a partner in a firm for the assessment year commencing on the 1st day
of April, 1992, or any earlier assessment year,] it is found—
(a) on the
assessment or reassessment of the firm, or
(b) on any
reduction or enhancement made in the income of the firm under this section,
section 154, section
250, section 254, section 260, section 262, section
263 or section 264, 43[R275] [or]
44[R276] (c) on any order passed under sub-section (4) of section
245D on the application made by the firm,]that the share of the partner
in the income of the firm has not been included in the assessment of the
partner or, if included, is not correct, the 45[R277] [Assessing] Officer may amend the order of assessment of the partner
with a view to the inclusion of the share in the assessment or the correction
thereof, as the case may be; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned 46[R278] [from the end of the financial year in which the final order was
passed] in the case of the firm.
47[R279] (1A) Where in respect of any completed assessment of a firm it is
found—
(a) on the
assessment or reassessment of the firm, or
(b) on any
reduction or enhancement made in the income of the firm under this section, section
154, section
250, section 254, section 260, section 262, section
263 or section 264 or
(c) on any order passed under
sub-section (4) of section 245D on the application made by the firmthat any remuneration to any partner is not deductible
under clause (b) of section 40,
the Assessing Officer may amend the order of assessment of the partner with
a view to adjusting the income of the partner to the extent of the amount not
so deductible ; and the provisions of section 154 shall, so far as may
be, apply thereto, the period of four years specified in sub-section (7) of
that section being reckoned from the end of the financial year in which the
final order was passed in the case of the firm.]
(2) Where
in respect of any completed assessment of a member of an association of persons
or of a body of individuals it is found—
(a) on the
assessment or reassessment of the association or body, or
(b) on any
reduction or enhancement made in the income of the association or body under
this section,
section 154, section 250,
section 254, section 260, section 262, section 263 or section 264, 48[R280] [or]
48[R281] (c) on any order passed under sub-section (4) of section 245D
on the application made by the association or body,]that the share of the
member in the income of the association or body, as the case may be, has not
been included in the assessment of the member or, if included, is not correct,
the 49[R282] [Assessing] Officer may amend the order of assessment of the member
with a view to the inclusion of the share in the assessment or the correction
thereof, as the case may be ; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned 50[R283] [from the end of the financial year in which the final order was
passed] in the case of the association or body, as the case may be.
(4) Where
as a result of proceedings initiated under section 147, a loss or depreciation
has been recomputed and in consequence thereof it is necessary to recompute the
total income of the assessee for the succeeding year or years to which the loss
or depreciation allowance has been carried forward and set off under the
provisions of sub-section (1) of section 72, or sub-section (2) of
section 73, or sub-section (1) 52[R285] [or sub-section (3)] of section 74, 53[R286] [or sub-section (3) of section 74A,] the 54[R287] [Assessing] Officer may proceed to recompute the total income in
respect of such year or years and make the necessary amendment ; and the
provisions of section 154 shall, so far as may be, apply thereto, the
period of four years specified in sub-section (7) of that section being
reckoned 55[R288] [from the end of the financial year in which the order was passed]
under section147.
56[R289] (4A) Where an allowance by
way of investment allowance has been made wholly or partly to an assessee57[R290] in respect of a ship or an aircraft or any machinery or plant in any
assessment year under section 32A and subsequently—
(a) at any time before the expiry of eight
years from the end of the previous year in which the ship or aircraft was
acquired or the machinery or plant was installed, the ship, aircraft, machinery
or plant is sold or otherwise transferred by the assessee to any person other
than the Government, a local authority, a corporation established by a Central,
State or Provincial Act or a 58[R291] Government company as defined in section 617 of the Companies Act, 1956
(1 of 1956), or in connection with any amalgamation or succession referred to
in sub-section (6) or sub-section (7) of section 32A ; or
(b) at any time before the expiry of ten
years from the end of the previous year in which the ship or aircraft was
acquired or the machinery or plant was installed, the assessee does not utilise
the amount credited to the reserve account under sub-section (4) of section
32A for the purposes of acquiring a new ship or a new aircraft or new
machinery or plant (other than machinery or plant of the nature referred to in
clauses (a), (b) and (d) of the 59[R292] [second] proviso to sub-section (1) of section 32A) for the
purposes of the business of the undertaking ; or
(c) at any time
before the expiry of ten years referred to in clause (b) the assessee utilises the amount credited
to the reserve account under sub-section (4) of section 32A—
(i) for
distribution by way of dividends or profits ; or
(ii) for remittance
outside
(iii) for any other purpose which is not a
purpose of the business of the undertaking, the investment allowance originally
allowed shall be deemed to have been wrongly allowed, and the 60[R293] [Assessing] Officer may, notwithstanding anything contained in this
Act, recompute the total income of the assessee for the relevant previous year
and make the necessary amendment; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned,—
(i) in a case
referred to in clause (a), from
the end of the previous year in which the sale or other transfer took place ;
(ii) in a case
referred to in clause (b), from
the end of the ten years referred to in that clause ;
(iii) in a case
referred to in clause (c), from
the end of the previous year in which the amount was utilised.
Explanation.—For the purposes of clause (b), “new ship” or “new aircraft” or “new
machinery or plant” shall have the same meanings as in the 61[R294] [Explanation below sub-section (2) of section 32A].]
(5) Where an allowance by
way of development rebate has been made wholly or partly to an assessee in
respect of a ship, machinery or plant installed after the 31st day of December,
1957, in any assessment year under section 33 or under the corresponding
provisions of the Indian Income-tax Act, 1922 (11 of 1922), and subsequently—
(i) at any time before the expiry of eight
years from the end of the previous year in which the ship was acquired or the
machinery or plant was installed, the ship, machinery or plant is sold or
otherwise transferred62[R295] by the assessee to any person other than the Government, a local
authority, a corporation established by a Central, State or Provincial Act or a
63[R296] Government company as defined in section 617 of the Companies Act, 1956
(1 of 1956), or in connection with any amalgamation or succession referred to
in sub-section (3) or sub-section (4) of section 33 ; or
(ii) at any time
before the expiry of the eight years referred to in sub-section (3) of section
34, the assessee utilises the amount credited to the reserve account under
clause (a) of that sub-section—
(a) for
distribution by way of dividends or profits ; or
(b) for remittance
outside
(c) for any other purpose which is not a
purpose of the business of the undertaking,the
development rebate originally allowed shall be deemed to have been wrongly
allowed, and the 64[R297] [Assessing] Officer may, notwithstanding anything contained in this
Act, recompute the total income of the assessee for the relevant previous year
and make the necessary amendment; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned from the end of the previous
year in which the sale or transfer took place or the money was so utilised.
65[R298] (5A) Where an allowance by way of development allowance has been made
wholly or partly to an assessee in respect of the cost of planting in any area
in any assessment year under section 33A and subsequently—
(i) at any time before the expiry of eight
years from the end of the previous year in which such allowance was made, the
land is sold or otherwise transferred by the assessee to any person other than
the Government, a local authority, a corporation established by a Central,
State or provincial Act or a Government company66[R299] as defined in section 617 of the Companies Act, 1956 (1 of 1956), or in
connection with any amalgamation or succession referred to in sub-section (5)
or sub-section (6) of section 33A ; or
(ii) at any time
before the expiry of the eight years referred to in sub-section (3) of section
33A, the assessee utilises the amount credited to the reserve account under
clause (ii) of that
sub-section—
(a) for
distribution by way of dividends or profits ; or
(b) for remittance
outside
(c) for any other purpose which is not a
purpose of the business of the undertaking ;the development allowance
originally allowed shall be deemed to have been wrongly allowed, and the 67[R300] [Assessing] Officer may, notwithstanding anything contained in this Act,
recompute the total income of the assessee for the relevant previous year and
make the necessary amendment ; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned from the end of the previous
year in which the sale or transfer took place or the money was so utilised.]
68[R301] Explanation.—For the purposes
of this sub-section, where an assessee having any leasehold or other right of
occupancy in any land transfers such right, he shall be deemed to have sold or
otherwise transferred such land.]
69[R302] (5B) Where any deduction in respect of any expenditure on scientific
research has been made in any assessment year under sub-section (2B) of section
35 and the assessee fails to furnish a certificate of completion of the
programme obtained from the prescribed authority within one year of the period
allowed for its completion by such authority, the deduction originally made in
excess of the expenditure actually incurred shall be deemed to have been
wrongly made, and the 70[R303] [Assessing] Officer may, notwithstanding anything contained in this
Act, recompute the total income of the assessee for the relevant previous year
and make the necessary amendment; and the provisions of section 154 shall,
so far as may be, apply thereto, the period of four years specified in
sub-section (7) of that section being reckoned from the end of the previous
year in which the period allowed for the completion of the programme by the
prescribed authority expired.]
(6) 71[R304] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(7) Where
as a result of any proceeding under this Act, in the assessment for any year of
a company in whose case an order under section 104 has been made for
that year, it is necessary to recompute the distributable income of that
company, the 72[R305] [Assessing] Officer may proceed to recompute the distributable income
and determine the 73[R306] [tax] payable on the basis of such recomputation and make the necessary
amendment ; and the provisions of section 154 shall, so far as may be,
apply thereto, the period of four years specified in sub-section (7) of that
section being reckoned 74[R307] [from the end of the financial year in which the final order was
passed] in the case of the company in respect of that proceeding.
(7A) 75[R308] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
76[R309] [(7B) Where in the assessment for any year, the capital gain arising from
the transfer of a capital asset is not charged under section 45 by
virtue of the provisions of clause (iv)
or, as the case may be, clause (v)
of section 47, but is deemed under section 47A to be income
chargeable under the head “Capital gains” of the previous year in which the
transfer took place by reason of—
(i) such capital
asset being converted by the transferee company into, or being treated by it,
as stock-in-trade of its business ; or
(ii) the parent company or its nominees or,
as the case may be, the holding company ceasing to hold the whole of the share
capital of the subsidiary company,at any time before
the expiry of the period of eight years from the date of such transfer, the 77[R310] [Assessing] Officer may, notwithstanding anything contained in this
Act, recompute the total income of the transferor company for the relevant
previous year and make the necessary amendment ; and the provisions of section
154 shall, so far as may be, apply thereto, the period of four years
specified in sub-section (7) of that section being reckoned from the end of the
previous year in which the capital asset was so converted or treated or in
which the parent company or its nominees or, as the case may be, the holding
company ceased to hold the whole of the share capital of the subsidiary
company.]
(8) 78[R311] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(8A) 79[R312] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(9) 80[R313] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(9A) 81[R314] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(10) 82[R315] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
83[R316] [(10A) Where in the assessment for any year, a capital gain arising
from the transfer of a 84[R317] [long-term capital asset], is charged to tax and within a period of six
months after the date of such transfer, the assessee has made any investment or
deposit in any specified asset within the meaning of Explanation 1 to sub-section (1) of section 54E, the
85[R318] [Assessing] Officer shall amend the order of assessment so as to
exclude the amount of the capital gain not chargeable to tax under the
provisions of 86[R319] [sub-section (1) of] section 54E ; and the provisions of
section 154 shall, so far as may be, apply thereto, the period of four
years specified in sub-section (7) of that section being 87[R320] [reckoned from the end of the financial year in which the assessment was
made.]
(10B) 88[R321] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
(10C) 89[R322] [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992.]
90[R323] (11) Where in the
assessment for any year, a capital gain arising from the transfer of any
original asset as is referred to in section 54H is charged to tax and
within the period extended under that section the assessee acquires the new
asset referred to in that section or, as the case may be, deposits or invests
the amount of such capital gain within the period so extended, the Assessing
Officer shall amend the order of assessment so as to exclude the amount of the
capital gain not chargeable to tax under any of the sections referred to in section
54H; and the provisions of section 154 shall, so far as may be,
apply thereto, the period of four years specified in sub-section (7) of
section 154 being reckoned from the end of the previous year in which the
compensation was received by the assessee.]
91[R324] [(12) Where in the assessment for any year commencing before the 1st
day of April, 1988, the deduction under section 80-O in respect of any
income, being the whole or any part of income by way of royalty, commission,
fees or any similar payment as is referred to in that section, has not been
allowed on the ground that such income has not been received in convertible
foreign exchange in India, or having been received in convertible foreign
exchange outside India, or having been converted into convertible foreign
exchange outside India, has not been brought into India, by or on behalf of the
assessee in accordance with any law for the time being in force for regulating
payments and dealings in foreign exchange and subsequently such income or part
thereof has been or is received in, or brought into, India in the manner
aforesaid, the Assessing Officer shall amend the order of assessment so as to
allow deduction under section 80-O in respect of such income or part thereof
as is so received in, or brought into, India; and the provisions of section
154 shall, so far as may be, apply thereto, the period of four years
specified in sub-section (7) of that section being reckoned from the end of the
previous year in which such income is so received in, or brought into, India;
so, however, that the period from the 1st day of April, 1988 to the 30th day of
September, 1991 shall be excluded in computing the period of four years.]
92[R325] (13) Where in the assessment for any year, the deduction under section 80HHB
or section 80HHC or section 80HHD or section 80HHE or section 80-O or section
80R or section 80RR or section 80RRA has not been allowed on the ground
that such income has not been received in convertible foreign exchange in
India, or having been received in convertible foreign exchange outside India,
or having been converted into convertible foreign exchange outside India, has
not been brought into India, by or on behalf of the assessee with the approval
of the Reserve Bank of India or such other authority as is authorised under any
law for the time being in force for regulating payments and dealings in foreign
exchange and subsequently such income or part thereof has been or is received
in, or brought into, India in the manner aforesaid, the Assessing Officer shall
amend the order of assessment so as to allow deduction under section 80HHB
or section 80HHC or section 80HHD or section 80HHE or section 80-O or section
80R or section 80RR or section 80RRA, as the case may be, in respect of
such income or part thereof as is so received in, or brought into, India; and
the provisions of section 154 shall, so far as may be, apply thereto,
and the period of four years shall be reckoned from the end of the previous
year in which such income is so received in, or brought into, India.]
93[R326] (14) Where in the
assessment for any previous year or in any intimation or deemed intimation
under sub-section (1) of section 143 for any previous year, credit for
tax deducted in accordance with the provisions of section 199 has not
been given on the ground that the certificate furnished under section 203 was
not filed with the return and subsequently such certificate is produced before
the Assessing Officer within two years from the end of the assessment year in
which such income is assessable, the Assessing Officer shall amend the order of
assessment or any intimation or deemed intimation under sub-section (1) of
section 143, as the case may be, and the provisions of section 154 shall,
so far as may be, apply thereto :
Provided that nothing
contained in this sub-section shall apply unless the income from which the tax
has been deducted has been disclosed in the return of income filed by the
assessee for the relevant assessment year.
(15) Where
in the assessment for any year, a capital gain arising from the transfer of a
capital asset, being land or building or both, is computed by taking the full
value of the consideration received or accruing as a result of the transfer to
be the value adopted or assessed by any authority of a State Government for the
purpose of payment of stamp duty in accordance with sub-section (1) of
section 50C, and subsequently such value is revised in any appeal or
revision or reference referred to in clause (b) of sub-section (2) of that
section, the Assessing Officer shall amend the order of assessment so as to
compute the capital gain by taking the full value of the consideration to be
the value as so revised in such appeal or revision or reference; and the provisions
of section 154 shall, so far as may be, apply thereto, and the period of
four years shall be reckoned from the end of the previous year in which the
order revising the value was passed in that appeal or revision or reference.]
94[R327] [(16) Where in the assessment for any year, a capital gain arising from
the transfer of a capital asset, being a transfer by way of compulsory
acquisition under any law, or a transfer, the consideration for which was
determined or approved by the Central Government or the Reserve Bank of India,
is computed by taking the compensation or consideration as referred to in
clause (a) or, as the case may be, the compensation or consideration enhanced
or further enhanced as referred to in clause (b) of sub-section (5) of section
45, to be the full value of consideration deemed to be received or accruing
as a result of the transfer of the asset and subsequently such compensation or
consideration is reduced by any court, Tribunal or other authority, the
Assessing Officer shall amend the order of assessment so as to compute the
capital gain by taking the compensation or consideration as so reduced by the
court, Tribunal or any other authority to be the full value of consideration;
and the provisions of section 154 shall, so far as may be, apply
thereto, and the period of four years shall be reckoned from the end of the
previous year in which the order reducing the compensation was passed by the
court, Tribunal or other authority.
(17) Where
a deduction has been allowed to an assessee in any assessment year under
section 80RRB in respect of any patent, and subsequently by an order of the
Controller or the High Court under the Patents Act, 1970 (39 of 1970),—
(i)
The patent was revoked, or
(ii) The name of the assessee was excluded from the
patents register as patentee in respect of that patent,the
deduction from the income by way of royalty attributable to the period during
which the patent had been revoked or the period for which the assessee’s name
was excluded as patentee in respect of that patent, shall be deemed to have
been wrongly allowed and the Assessing Officer may, notwithstanding anything
contained in this Act, recompute the total income of the assessee for the
relevant previous year and make necessary amendment; and the provisions of
section 154 shall, so far as may be, apply thereto, the period of four years
specified in sub-section (7) of that section being reckoned from the end of the
previous year in which such order of the Controller referred to in clause (b) of sub-section (1), or the High Court
referred to in clause (i) of
sub-section (1) of section 2, of the Patents Act, 1970 (39 of 1970), as the
case may be, was passed.]
95[R328] Explanation.—for the purposes of this section,—
(a) “Additional compensation” shall have the
meaning assigned to it in clause (1) of the Explanation to sub-section (2) of
section 54;
(b) “additional consideration”, in relation
to the transfer of any capital asset the consideration for which was determined
or approved by the Central Government or the Reserve Bank of India, means the
difference between the amount of consideration for such transfer as enhanced by
any court, tribunal or other authority and the amount of consideration which
would have been payable if such enhancement had not been made.]
156. When
any tax, interest, penalty, fine or any other sum 97[R330] [***] is payable in consequence of any order passed
under this Act, the 98[R331] [Assessing] Officer shall99[R332] serve upon the assessee a notice of demand in
the prescribed form1[R333] specifying the sum so payable.
157. When,
in the course of the assessment of the total income of any assessee, it is
established that a loss has taken place which the assessee is entitled to have
carried forward and set off under the provisions of sub-section (1) of section
72, sub-section (2) of section 73, 2[R334] [sub-section (1) 3[R335] [or sub-section (3)] of section 74 or
sub-section (3) of section 74A], the 4[R336] [Assessing] Officer shall notify to the
assessee by an order in writing the amount of the loss as computed by him for
the purposes of sub-section (1) of section 72, sub-section (2) of section 73, 5[R337] [sub-section (1) 6[R338] [or sub-section (3)] of section 74 or
sub-section (3) of section 74A].
Intimation
of assessment of firm.
158. 7[R339] Whenever, in respect of the assessment year commencing
on the 1st day of April, 1992, or any earlier assessment year, a registered
firm is assessed], or an unregistered firm is assessed under the provisions of
clause (b) of section 183, the 8[R340] [Assessing] Officer shall notify to the firm
by an order in writing the amount of its total income assessed and the
apportionment thereof between the several partners.
[R2]See also Circular No. 307, dated 23-6-1981,
Circular No. 412, dated 2-3-1985, Circular No. 639, dated 13-11-1992, Circular
No. 792, dated 21-6-2000, Circular No. 795, dated 1-9-2000, Circular No.
10/2001, dated 19-7-2001 and Circular No. 10/2003, dated 24-12-2003.
For relevant case laws, see case laws
[R3]Substituted by the Finance Act, 2001, w.e.f. 1-4-2001.
Prior to its substitution, sub-section (1), as amended by the Finance Act,
1963, w.r.e.f. 1-4-1962, Taxation Laws (Amendment) Act, 1967, w.e.f. 1-10-1967,
Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971, Finance Act, 1972, w.e.f.
1-4-1972, Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989, Direct Tax
Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989, Finance Act, 1990, w.e.f.
1-4-1991, Finance Act, 1992, w.e.f. 1-4-1993, Finance Act, 1994, w.e.f.
1-4-1994, Finance (No. 2) Act, 1996, w.e.f. 1-4-1997, Finance Act, 1997, w.e.f.
1-4-1997, Finance (No. 2) Act, 1998, w.e.f. 1-8-1998 and Finance Act, 1999,
w.e.f. 1-6-1999, read as under :
‘(1) Every person,
if his total income or the total income of any other person in respect of which
he is assessable under this Act during the previous year exceeded the maximum
amount which is not chargeable to income-tax, shall, on or before the due date,
furnish a return of his income or the income of such other person during the
previous year in the prescribed form and verified in the prescribed manner and
setting forth such other particulars as may be prescribed:
Provided that a person, not furnishing return under this
sub-section and residing in such area as may be specified by the Board in this
behalf by a notification in the Official Gazette, and who at any time during the previous year fulfils any one of the
following conditions, namely :—
(i) is in occupation of an immovable property exceeding a
specified floor area, whether by way of ownership, tenancy or otherwise, as may
be specified by the Board in this behalf; or
(ii) is
the owner or the lessee of a motor vehicle other than a two-wheeled motor
vehicle, whether having any detachable side car having extra wheel attached to
such two-wheeled motor vehicle or not; or
(iii) is a subscriber to a telephone; or
(iv) has incurred expenditure for himself or any other person on
travel to any foreign country;
(v) is the holder of the credit card, not being an “add-on”
card, issued by any bank or institution; or
(vi) is a member of a club where entrance fee
charged is twenty-five thousand rupees or more,
shall furnish a
return, of his income during the previous year, on or before the due date in
the prescribed form and verified in the prescribed manner and setting forth
such other particulars as may be prescribed:
Provided further that the Central Government may, by notification in
the Official Gazette, specify the class or classes of persons to whom the
provisions of the first proviso shall not apply.
Explanation 1.—In this sub-section, “due date” means—
(a) where the assessee is a company, the 30th
day of November of the assessment year;
(b) where the assessee is a person, other
than a company,—
(i) in a case where the accounts of the assessee
are required under this Act or any other law to be audited or where the report
of an accountant is required to be furnished under section 80HHC or section
80HHD or where the prescribed certificate is required to be furnished under
section 80R or section 80RR or sub-section (1) of section 80RRA, or in the case
of a co-operative society or in the case of a working partner of a firm whose
accounts are required under this Act or any other law to be audited, the 31st
day of October of the assessment year ;
(ii) in a case where the total income referred to in
this sub-section includes any income from business or profession, not being a
case falling under sub-clause (i), the 31st day of August of the
assessment year;
(iii) in any other case,
the 30th day of June of the assessment year.
Explanation 2.—For the purposes of sub-clause (i) of clause (b)
of Explanation 1, the expression “working partner” shall have the
meaning assigned to it in Explanation 4 of clause (b) of section
40.
Explanation 3.—For the purposes of this sub-section, the expression
“motor vehicle” shall have the meaning assigned to it in clause (28) of
section 2 of the Motor Vehicles Act, 1988 (59 of 1988).
Explanation 4.—For the purposes of this sub-section, the expression “travel to any foreign country” does not include travel to the neighbouring countries or to such places of pilgrimage as the Board may specify in this behalf by notification in the Official Gazette.
[R5]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R6]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
|
6. The Forms prescribed in
rule 12, as applicable from the assessment year 2003-2004, are as follows : |
|
|
(A) Companies other than
those covered under (C) below |
Form No. 1 |
|
(B) Resident
Individuals/HUFs other than those covered under (E) below : |
|
|
- whose
total income includes income from business or profession |
Form No. 2 or Form No. 2D SARAL, at the option of the assessee |
|
- whose
total income does not include income from business or profession, but
includes capital gains or agricultural income |
Form No. 3 or Form No. 2D
SARAL, at the option of the assessee |
|
- whose
total income does not include income
from business or profession, or
capital gains, or agricultural income |
Form No. 3 or Form No. 2D
SARAL or Form No. 2E NAYA SARAL, at
the option of the assessee |
|
- in
case of individuals whose total income does not include income from business or
profession, or capital gains, or agricultural income, but includes income under salaries not exceeding Rs.
1.50 lakhs (before allowing deduction
under section 16 of the Act), and the
person is not in receipt of any other income from which tax has been deducted
at source by any person other than the
employer. |
Form No. 3 or Form No. 2D
SARAL or Form No. 2E NAYA SARAL or Form No. 16AA, at the option of the
assessee-individual |
|
(BB) Persons other than
those covered under (A) and (B) above |
|
|
- whose
total income includes income from business or profession |
Form No. 2 or Form No. 2D
SARAL, at the option of the assessee |
|
- whose
total income does not include income from business or profession |
Form No. 3 or Form No. 2D
SARAL, at the option of the assessee |
|
(C) Persons (including
companies) in receipt of income derived from property held under trust or
other legal obligation wholly or in part for charitable or religious
purposes, and who claim exemption under section 11 |
Form No. 3A |
|
(D) Persons required to
furnish return under section 139(4C) |
Form No. 3A |
|
(E) Persons satisfying
economic criteria and required to file return under the first proviso to
section 139(1) |
Form No. 2C |
|
(F) Persons required to
file return under section 158BC for block assessment in search cases |
Form No. 2B |
[R9]Italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R11]Clause (iii) shall be omitted by the Finance Act, 2005, w.e.f. 1-4-2006
[R12]Substituted for “telephone” by the Finance Act, 2002, w.e.f. 1-4-2002
[R13]See also Circular No. 795, dated 1-9-2000
[R14]See rule 12 and Form No. 2C
[R16]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R19]Inserted by the Finance Act, 2002, w.e.f.
1-4-2002. Earlier sub-section (1A) was amended by the Finance Act, 1963,
w.r.e.f. 1-4-1962, the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971,
the Finance Act, 1974, w.e.f. 1-4-1975, the Finance Act, 1982, w.e.f. 1-4-1983,
the Taxation Laws (Amendment) Act, 1984, w.e.f.
1-4-1985 and the Finance Act, 1985, w.e.f. 1-4-1986 and later on omitted
by the Finance Act, 1992, w.e.f. 1-4-1993. Prior to omission sub-section (1A)
read as under :
‘(1A) Notwithstanding anything contained in sub-section (1), no person
need furnish under that sub-section a return of his income or the income of any
other person in respect of whose total income he is assessable under this Act,
if his income or, as the case may be, the income of such other person during
the previous year consisted only of income chargeable under the head “Salaries”
or of income chargeable under that head and also income of the nature referred
to in any one or more of clauses (i) to (ix) of sub-section (1)
of section 80L and the following conditions are fulfilled, namely :—
(a) where he or such other person was employed during the
previous year by a company, he or such other person was at no time during the
previous year a director of the company or a beneficial owner of shares in the
company (not being shares entitled to a fixed rate of dividend whether with or
without a right to participate in profits) carrying not less than twenty per
cent of the voting power;
(b) his income or the income of such other person under the head
“Salaries”, exclusive of the value of all benefits or amenities not provided for
by way of monetary payment, does not exceed twenty-four thousand rupees;
(c) the amount of income of the nature referred to in clauses (i)
to (ix) of sub-section (1) of section 80L, if any, does not, in the
aggregate, exceed the maximum amount allowable as deduction in his case under
that section; and
(d) the tax deductible at source under section 192 from the income chargeable under the head “Salaries” has been deducted from that income.
[R20]See Scheme for Bulk Filing of Returns by Salaried Employees, 2002/Scheme for Filing of Returns by Salaried Employees’ through Employer, 2004
[R21] Explanation omitted by the Taxation Laws (Amendment) Act,
1984, w.e.f. 1-4-1985. Omitted Explanation read as under
:
‘Explanation.— For the purposes of this sub-section, “salary” shall have the meaning assigned to it in clause (1) of section 17.’
[R22]Inserted by the Finance Act, 2003, w.e.f. 1-4-2003.
[R23]See Electronic Furnishing of Return of Income Scheme, 2004/Furnishing of Return of Income on Internet Scheme, 2004.
[R24]Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Prior to its omission, sub-section (2) was amended by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971, Finance Act, 1972, w.e.f. 1-4-1972 and Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R25]“has not been served with a notice under sub-section (2),” omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R26]Inserted by the Finance Act, 1987, w.e.f. 1-4-1988
[R27]Inserted by the Finance Act, 1974, w.e.f. 1-4-1975
[R28]“or by the thirty-first day of July of the assessment year relevant to the previous year during which the loss was sustained” omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Prior to its omission, the said expression was substituted for “within such further time which, on an application made in the prescribed manner, the Income-tax Officer may, in his discretion allow” by the Taxation Laws (Amendment & Miscellaneous Provisions) Act, 1986, w.e.f. 1-4-1987. Original expression was inserted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971.
[R29]See rules 12 and 12A.
[R30]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Prior to its substitution, sub-section (4) was substituted by the Finance Act, 1968, w.e.f. 1-4-1968 and amended by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971
[R33]Restored to its original provision by the Direct Tax Laws (Amendment) Act, 1989, w.e.f 1-4-1989. Earlier it was substituted by the Direct Tax Laws (Amendment) Act, 1987, with effect from the same date.
[R34]Substituted by the Finance Act, 1972, w.e.f. 1-4-1973. Original sub-section was inserted by the Finance Act, 1970, w.e.f. 1-4-1971
[R35]See rules 12 and 12A.
[R36]Inserted by the Taxation Laws (Amendment) Act, 1978, w.e.f. 1-4-1979
[R37]See rules 12 and 12A
[R38]Inserted by the Finance Act, 2002, w.e.f. 1-4-2003
[R39]See rule 12(1)(e) and Form No. 3A
[R40]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R41]Substituted for sub-section (6) by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R42]Substituted for “in sub-sections (1), (2) and (3)” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R43]Substituted for “and value and belonging to him” by the Finance Act, 1999, w.e.f. 1-6-1999
[R44]Substituted for “in sub-sections (1), (2) and (3)” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R45]Words “sub-sections (1) and (3) of” omitted by the Finance Act, 1995, w.e.f. 1-7-1995
[R46]Inserted by the Finance Act, 1988, w.e.f. 1-4-1989
[R47]Substituted for “obtained under section 44AB” by the Finance Act, 1995, w.e.f. 1-7-1995
[R48]Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R49]Substituted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971. Original sub-section was inserted by the Finance Act, 1963, w.e.f. 28-4-1963
[R50]See rule 119A
[R51]Substituted for portion beginning with “Where the return” and ending with “under this sub-section” by the Finance Act, 1972, w.e.f. 1-4-1972.
[R52]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R53]Substituted for “twelve” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984. Section 84 of the Amendment Act has clarified that the increase in the rate of interest will apply in respect of any period falling after 30-9-1984, also in those cases where the interest became chargeable or payable from an earlier date
[R54]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R55]See rule 117A
[R56]Substituted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-4-1985. Earlier it was amended by the Finance Act, 1972, w.e.f. 1-4-1972
[R57]Substituted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-4-1985.
[R58]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R59]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f.1-4-1988
[R60]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R61]Inserted by the Finance (No. 2) Act, 1980, w.e.f. 1-9-1980.
[R62]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R63]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R64]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R65]Substituted by the Finance Act, 1995, w.e.f. 1-7-1995. Prior to its
substitution, clause (bb), as inserted by the Finance Act, 1988, w.e.f.
1-4-1989, read as under :
“(bb) the return is accompanied by the report of the audit obtained under section 44AB;”
[R66]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-4-2005.
[R67]Substituted for “2005” by the Finance Act, 2005, w.e.f. 1-4-2005
[R68]Inserted by the Finance Act, 2002, w.e.f. 1-6-2002.
[R69]Inserted by the Finance Act, 1985, w.e.f. 1-4-1985
[R70]For text of section 233B of the Companies Act, 1956, see Appendix One.
[R71]Prior to omission sub-section (10) was amended by the Taxation Laws (Amendment & Miscellaneous Provisions) Act, 1986, w.e.f. 1-4-1986, Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989, Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989 and Finance Act, 1990, w.e.f. 1-4-1990.
[R72]Substituted by the Finance Act, 1995, w.e.f.
1-7-1995. Prior to its substitution, section 139A, as inserted by the Taxation
Laws (Amendment) Act, 1975, w.e.f. 1-4-1976 and later amended by the Direct Tax
Laws (Amendment) Act, 1987, w.e.f. 1-4-1988/1-4-1989 and the Finance Act, 1990,
w.e.f. 1-4-1990, read as under :
‘139A. Permanent account numbers.—(1)
Every person, if his total income or the total income of any other person in respect of which
he is assessable under this Act during any previous year exceeded the maximum
amount which is not chargeable to income-tax and he has not been allotted any
permanent account number, shall, within such time as may be prescribed, apply
to the Assessing Officer for the allotment of a permanent account number.
(2)
Notwithstanding anything contained in sub-section (1), every person not falling
under that sub-section, but—
(i) carrying on any business whose total sales,
turnover or gross receipts are or is likely to exceed fifty thousand rupees in
any previous year; or
(ii) who is required to
furnish a return of income under sub-section (4A) of section 139, and who has
not been allotted any permanent account number, shall, within such time as may
be prescribed apply to the Assessing Officer for the allotment of a permanent
account number.
(3)
The Assessing Officer may also allot to any other person by whom tax is
payable, a permanent account number.
(4)
All permanent account numbers allotted to assessees before the commencement of
the Taxation Laws (Amendment) Act, 1975 (41 of 1975), shall, with effect from such
date as
the Board may, by notification in the Official Gazette,
specify, be deemed to have been allotted to them under the provisions of this
section.
(5)
Where a permanent account number has been allotted or is deemed to have been
allotted to any person under this section, he shall—
(a) quote such number in
all his returns to, or correspondence with, any income-tax authority;
(b) quote such number in
all challans for the payment of any sum due under this Act;
(c) quote such number in
all documents pertaining to such transactions as may be prescribed by the Board
in the interests of the revenue, and entered into by him;
(d) intimate the
Assessing Officer any change in his address or in the name and nature of his
business.
(6)
The Board may make rules providing for—
(a) the form and the
manner in which an application may be made for the allotment of a permanent
account number and the particulars which such application shall contain ;
(b) the categories of
transactions in relation to which permanent account numbers shall be quoted by
the persons to whom such numbers have been allotted, in the documents
pertaining to such transactions ;
(c) the categories of documents pertaining to
business or profession of the persons to whom permanent account numbers have
been allotted, in which such numbers shall be quoted by them.
Explanation.— In this section,—
(a) [***]
(b) “permanent account number” means a number which the Assessing Officer may allot to any person for the purpose of identification.’
[R73]See Press release dated 19-5-1998, Circular No. 792, dated 21-6-2000 and Notification No. SO 123(E), dated 11-2-1998.
[R74] Substituted for “fifty thousand” by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998
[R75]The following shall be substituted for
“sub-section (4A) of section 139” by the Finance Act, 2005, w.e.f. 1-4-2006 :
“sub-section
(4A) of section 139; or
(iv) being an employer, who is required to furnish a return of fringe benefits under section 115WD,”
[R76]See rule 114 and Form No. 49A for application for allotment of PAN. See also Appendix Two
[R77]Inserted by the Finance Act, 2000, w.e.f. 1-6-2000
[R80]See rules 114B to 114D and Form Nos. 60 & 61. See Appendix Two for detailed analysis of rules 114B to 114D.
[R81]Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998.
[R82]Sub-sections (5A) to (5D) inserted by the Finance Act, 2001, w.e.f. 1-6-2001
[R83]First proviso omitted by the Finance (No. 2)
Act, 2004, w.e.f. 1-4-2005. Prior to its omission, the first proviso read
as under :
“Provided that nothing contained in this sub-section shall apply to a non-resident referred to in sub-section (4) of section 115AC, or sub-section (2) of section 115BBA, or to a non-resident Indian referred to in section 115G :”
[R85]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004.
[R86]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004.
[R87] Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998.
[R88]See rules 114, 114B, 114C and 114D and Form Nos. 49A, 60 & 61
[R89]Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998.
[R90]Clauses (d) to (g) inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998
[R91]Should be read as “clause (b)”.
[R92]Should be read as “clause (b)”
[R93]Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-8-1998
[R94]For relevant case laws, see case laws
[R95]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006.
[R96]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R97]Substituted for clauses (c) and (d) by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R98]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R99]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R100]Substituted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971. Original section was inserted by the Finance Act, 1964, w.e.f. 1-4-1964
[R101]See also Circular No. 20(LXXXVI)-D of 1964 (extracts), dated 7-7-1964
[R102]Substituted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R103]Substituted for “section 139 or section 148” by the Finance (No. 2) Act, 1991, w.e.f. 27-9-1991
[R104]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R105]Substituted for “or, as the case may be, section 148” by the Finance Act, 1999, w.e.f. 1-6-1999
[R106]Inserted by the Finance Act, 2003, w.e.f. 1-6-2003
[R107]Substituted for “the assessee shall be liable to pay such tax before furnishing the return and the return shall be accompanied by proof of payment of such tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R108]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R109]Sub-sections (1A) and (1B) inserted by the Finance Act, 2001, w.r.e.f. 1-4-1989.
[R110]The italicised words shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R111]Inserted by the Finance Act, 1999, w.e.f. 1-6-1999
[R112]Inserted by the Finance Act, 2003, w.e.f. 1-6-2003.
[R113]Inserted by the Finance Act, 1999, w.e.f. 1-6-1999
[R114]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Prior to its substitution, sub-section (3) was substituted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R115]Inserted by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989
[R116]Prior to its omission, section 141A was amended by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971, Finance Act, 1974, w.e.f. 1-4-1975, Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976, Finance Act, 1976, w.e.f. 1-4-1976 and the Finance Act, 1988, w.e.f. 1-4-1988.
[R117]For relevant case laws, see case laws
[R118]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R119]Words “under section 115WD or section 139 or in whose case the time allowed under sub-section (1) of section 139” shall be substituted for “under section 139 or in whose case the time allowed under sub-section (1) of that section” by the Finance Act, 2005, w.e.f. 1-4-2006.
[R120]Substituted for “or to whom a notice has been issued under sub-section (2) of section 139 (whether a return has been made or not)” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Earlier, the italicised words were substituted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976.
[R121]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R122]Substituted for “before the end of the relevant assessment year” by the Finance Act, 1990, w.e.f. 1-4-1990.
[R123]See rule 14 for form of verification which shall be in the following form : “I declare that to the best of my knowledge and belief, the information furnished in the statement/statements is correct and complete and the other particulars shown therein are truly stated”
[R124]Renumbered by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R125]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R126]Renumbered by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R127]See rule 14
[R128]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R129]Substituted for “Deputy Commissioner” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier “Deputy Commissioner” was substituted for “Inspecting Assistant Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R130]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R131]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R132]Inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R133]See rule 14A and Form No. 6B for audit report under section 142(2A)
[R134]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R136]Substituted for “Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R137]Substituted for “Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R138]See rule 14A and Form No. 6B for audit report under section 142(2A)
[R139]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R140]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R141]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R142]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R143]Substituted for “Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R144]Inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976
[R145]Inserted by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989
[R146]Inserted by the Finance (No. 2) Act, 2004, w.r.e.f. 15-11-1972
[R147]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Section 143, was earlier amended by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971, Finance Act, 1974, w.e.f. 1-4-1975, Finance Act, 1976, w.e.f. 1-4-1976, Finance (No. 2) Act, 1980, w.e.f. 1-4-1980 and Finance Act, 1987, w.e.f. 1-4-1988.
[R148]The provisions of section 143 as they stood before the commencement of the Direct Tax Laws (Amendment) Act, 1987, shall apply in respect of assessments for the assessment year commencing on the 1st day of April, 1988 and any earlier assessment year—vide Income-tax (Removal of Difficulties) Order, 1989
[R149]See also Circular No. 201, dated 5-7-1976, Instruction No. 1395, dated 15-5-1981 [Source : 114th Report [1982-83] of the Public Accounts Committee, pp. 16-17], Circular No. 230, dated 27-10-1977. Relevant extracts from minutes of 12th meeting of CDTAC held on 17-8-1967, Circular No. 18 (XL-37), dated 28-4-1955, Circular No. 125, dated 26-11-1973, Circular No. 36(XL-52), dated 19-11-1958, Circular No. 50(XL-43), dated 28-12-1956, Letter [F.No. 91/41/67/ITJ(25)], dated 3-7-1967, Letter [F.No. 81/27/65-IT(B)], dated 18-5-1965, Circular No. 14 (XL-35), dated 11-4-1955, Circular No. 3 of 1942, dated 16-1-1942, Circular No. 601, dated 4-6-1991, Instruction No. 574, dated 27-7-1993 and Circular No. 4/2003, dated 14-5-2003. For relevant case laws, see case laws
[R150]Substituted by the Finance Act, 1999, w.e.f.
1-6-1999. Prior to its substitution, sub-section (1), as amended by the Direct
Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989, Direct Tax Laws (Second
Amendment) Act, 1989, w.e.f. 1-4-1989, Finance Act, 1992, w.e.f. 1-4-1993 and
Finance Act, 1997, w.e.f. 1-4-1998, read as under :
“(1)(a)
Where a return has been made under section 139, or in response to a notice
under sub-section (1) of section 142,—
(i) if
any tax or interest is found due on the basis of such return, after adjustment
of any tax deducted at source, any advance tax paid and any amount paid
otherwise by way of tax or interest, then, without prejudice to the provisions
of sub-section (2), an intimation shall be sent to the assessee specifying the
sum so payable, and such intimation shall be deemed to be a notice of demand
issued under section 156 and all the provisions of this Act shall apply accordingly ; and
(ii) if any refund is due on the basis of such return, it shall
be granted to the
assessee :
Provided that in computing the tax or interest payable
by, or refundable to, the assessee, the following adjustments shall be made in
the income or loss declared in the return, namely :—
(i) any arithmetical errors in the return, accounts or documents
accompanying it shall be rectified ;
(ii) any
loss carried forward, deduction, allowance or relief, which, on the basis of
the information available in such return, accounts or documents, is prima
facie admissible but which is not claimed in the return, shall be allowed ;
(iii) any
loss carried forward, deduction, allowance or relief claimed in the return,
which, on the basis of the information available in such return, accounts or
documents, is prima facie inadmissible, shall be disallowed :
Provided further that an intimation shall be sent to the
assessee whether or not any adjustment has been made under the first proviso
and notwithstanding that no tax or interest is due from him :
Provided also that an intimation under this clause shall
not be sent after the expiry of two years from the end of the assessment year
in which the income was first assessable.
(b) Where as a result of an order
made under sub-section (3) of this section or section 144 or section 147 or
section 154 or section 155 or section 250 or section 254 or section 260 or
section 262 or section 263 or section 264, or any order of settlement made
under sub-section (4) of section 245D relating to any earlier assessment
year and passed subsequent to the filing
of the return referred to in clause (a), there is any variation in the
carry forward loss, deduction, allowance or relief claimed in the return, and
as a result of which,—
(i) if
any tax or interest is found due, an intimation shall be sent to the assessee
specifying the sum so payable, and such intimation shall be deemed to be a
notice of demand issued under section 156 and all the provisions of this Act
shall apply accordingly, and
(ii) if any refund is due, it shall be granted to the assessee :
Provided that an intimation for any tax or interest
due under this clause shall not be sent after the expiry of four years from the
end of the financial year in which any such order was passed.
(c) Where the assessee is a
member of an association of persons or body of individuals and as a result of
the adjustments made under the first proviso to clause (a) of
sub-section (1) in the income or loss declared in the return made by the
association or body, as the case may be, or as a result of an order made under
sub-section (3) of this section or section 144 or section 147 or section 154 or
section 155 or sub-section (1) or sub-section (2) or sub-section (3) or
sub-section (5) of section 185 or sub-section (1) or sub-section (2) of section
186 or section 250 or section 254 or section 260 or section 262 or section 263
or section 264, or any order of settlement made under sub-section (4) of
section 245D, passed subsequent to the filing of the return referred to in
clause (a), there is any variation in his share in the income or loss of
the association or body, as the case may be, or in the manner of inclusion of
his share in the returned income, then,—
(i) if any tax or interest is found due, an intimation shall be sent to
the assessee specifying the sum so payable, and such intimation shall be deemed
to be a notice of demand issued under section 156 and all the provisions of
this Act shall apply accordingly, and
(ii) if any refund is due, it shall be granted
to the assessee :
Provided that an intimation for any tax or interest due under this clause shall not be sent after the expiry of four years from the end of the financial year in which any such adjustments were made or any such order was passed.”
[R151]For the meaning of the expression “without prejudice to the provisions of sub-section (2)”
[R152]Substituted for “two years from the end of the assessment year in which the income was first assessable” by the Finance Act, 2001, w.e.f. 1-6-2001.
[R153]Third proviso inserted by the Finance Act, 2001, w.e.f. 1-6-2001
[R154]Prior to its omission, sub-section (1A), as
inserted by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989, and
later on amended by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f.
1-4-1989, the Finance Act, 1992, w.r.e.f. 1-4-1989 and the Finance Act, 1993,
w.r.e.f. 1-4-1989, read as under :
“(1A) (a) Where as a result of the
adjustments made under the first proviso to clause (a) of sub-section
(1),—
(i) the income declared by any person in the return is increased
; or
(ii) the loss declared by such person in the return is reduced or
is converted into income,
the Assessing
Officer shall,—
(A) in
a case where the increase in income under sub-clause (i) of this clause
has increased the total income of such person, further increase the amount of
tax payable under sub-section (1) by an additional income-tax calculated at the
rate of twenty per cent on the difference between the tax on the total income
so increased and the tax that would have been chargeable had such total income
been reduced by the amount of adjustments and specify the additional income-tax
in the intimation to be sent under sub-clause (i) of clause (a)
of sub-section (1) ;
(B) in
a case where the loss so declared is reduced under sub-clause (ii) of
this clause or the aforesaid adjustments have the effect of converting that
loss into income, calculate a sum (hereinafter referred to as additional
income-tax) equal to twenty per cent of the tax that would have been chargeable
on the amount of the adjustments as if it had been the total income of such
person and specify the additional income-tax so calculated in the intimation to
be sent under sub-clause (i) of clause (a) of sub-section (1) ;
(C) where any refund is due under sub-section (1), reduce the
amount of such refund by an amount equivalent to the additional income-tax
calculated under sub-clause (A) or sub-clause (B), as the case
may be.
(b)
Where as a result of an order under sub-section (3) of this section or section
154 or section 250 or section 254 or section 260 or section 262 or section 263
or section 264, the amount on which additional income-tax is payable under
clause (a) has been increased or reduced, as the case may be, the
additional income-tax shall be increased or reduced accordingly, and,—
(i) in a case where the additional income-tax
is increased, the Assessing Officer shall serve on the assessee a notice of
demand under section 156 ;
(ii) in a case where the additional income-tax is reduced, the excess amount paid, if any, shall be refunded.”
[R155]Prior to its omission, sub-section (1B), as
inserted by the Finance Act, 1990, w.r.e.f.
1-4-1989, read as under :
“(1B) Where an assessee furnishes a
revised return under sub-section (5) of section 139 after the issue of an
intimation, or the grant of refund, if any, under sub-section (1) of this section,
the provisions of sub-sections (1) and (1A) of this section shall apply in
relation to such revised return and—
(i) the intimation already sent for any income-tax, additional
income-tax or interest shall be amended on the basis of the said revised return
and where any amount payable by way of income-tax, additional income-tax or
interest specified in the said intimation has already been paid by the assessee
then, if any such amendment has the effect of—
(a) enhancing
the amount already paid, the intimation amended under this clause shall be sent
to the assessee specifying the excess amount payable by him and such
intimation shall be deemed to be a notice of demand issued under section 156
and all the provisions of this Act shall apply accordingly;
(b) reducing the amount already paid, the excess amount paid
shall be refunded to the assessee ;
(ii) the amount of the refund already granted shall be enhanced
or reduced on the basis of the said revised return and where the amount of
refund already granted is—
(a) enhanced, only the excess amount of refund due to the
assessee shall be paid to him ;
(b) reduced,
the excess amount so refunded shall be deemed to be the tax payable by the
assessee and an intimation shall be sent to the assessee specifying the amount
so payable, and such intimation shall be deemed to be a notice of demand issued
under section 156 and all the provisions of this Act shall apply accordingly :
Provided that an assessee, who has furnished a revised return under sub-section (5) of section 139 after the service upon him of the intimation under sub-section (1) of this section, shall be liable to pay additional income-tax in relation to the adjustments made under the first proviso to clause (a) of sub-section (1) and specified in the said intimation, whether or not he has made the said adjustments in the revised return.”
[R156]Substituted by the Finance Act, 2002, w.e.f.
1-6-2002. Prior to its substitution, sub-section (2), as amended by the Direct
Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989 and the Finance (No. 2)
Act, 1991, w.e.f. 1-10-1991, read as under:
“(2) Where a return has been made under
section 139, or in response to a notice under sub-section (1) of section 142,
the Assessing Officer shall, if he considers it necessary or expedient to
ensure that the assessee has not understated the income or has not computed
excessive loss or has not under-paid the tax in any manner, serve on the assessee
a notice requiring him, on a date to be specified therein, either to attend his
office or to produce, or cause to be produced there, any evidence on which the
assessee may rely in support of the return :
Provided that no notice under this sub-section shall be served on the assessee after the expiry of twelve months from the end of the month in which the return is furnished.”
[R157]Inserted by the Finance Act, 2003, w.e.f. 1-6-2003
[R158]Substituted for “this sub-section” by the Finance Act, 2003, w.e.f. 1-6-2003
[R159]Substituted by the Finance Act, 2002, w.e.f.
1-6-2002. Prior to its substitution, sub-section (3), as inserted by the
Finance (No. 2) Act, 1998, w.e.f. 1-10-1998, read as under:
“(3) On the day specified in the notice issued under sub-section (2), or as soon afterwards as may be, after hearing such evidence as the assessee may produce and such other evidence as the Assessing Officer may require on specified points, and after taking into account all relevant material which he has gathered, the Assessing Officer shall, by an order in writing, make an assessment of the total income or loss of the assessee, and determine the sum payable by him or refund of any amount due to him on the basis of such assessment.”
[R160]Inserted by the Finance Act, 2002, w.e.f. 1-4-2003
[R161]Inserted by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989
[R162]Prior to its omission, sub-section (5), as
inserted by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989,
read as under :
“(5) The provisions of this section as they stood immediately before their amendment by the Direct Tax Laws (Amendment) Act, 1987 (4 of 1988), shall apply to and in relation to any assessment for the assessment year commencing on the 1st day of April, 1988, or any earlier assessment year and references in this section to the other provisions of this Act shall be construed as references to those provisions as for the time being in force and applicable to the relevant assessment year.”
[R163]Omitted by the Finance Act, 1999, w.e.f.
1-6-1999. Prior to its omission, Explanation, as inserted by the Finance
(No. 2) Act, 1991, w.e.f. 1-10-1991 and later on amended by the Finance Act,
1994, w.e.f. 1-6-1994, read as under :
“Explanation.—An intimation sent to the assessee under sub-section (1) or sub-section (1B) shall be deemed to be an order for the purposes of sections 246 and 264.”
[R164]For departmental instructions and relevant case laws, see case laws
[R165]Renumbered by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989
[R166]Substituted for “by any notice given under sub-section (2) of section 139” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R167]Inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976.
[R168]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R169]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R170]Substituted for “shall make the assessment” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R172] Words “or refundable to the assessee” omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R173]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R174]Inserted by the Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-4-1989
[R175]Inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976.
[R176]Substituted for “Deputy Commissioner” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier “Deputy Commissioner” was substituted for “Inspecting Assistant Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R177]For relevant case laws, see case laws
[R178]“(1)” omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R179]Substituted for “Deputy Commissioner” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier “Deputy Commissioner” was substituted for “Inspecting Assistant Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R180]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R181]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R182]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R183]Substituted for “sub-section” by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989
[R184]For the meaning of the expression “direction as to . . . should be made
[R185]Sub-section (2) omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R186]Prior to its omission, section 144B was amended by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984
[R187]Substituted by the Finance Act, 1995, w.e.f.
1-4-1997. Prior to its substitution, section 145, as amended by the Direct Tax
Laws (Amendment) Act, 1987, w.e.f. 1-4-1988/1-4-1989 and the Finance Act, 1990,
w.r.e.f. 1-4-1989, read as under :
‘145. Method of accounting.—(1)
Income chargeable under the head “Profits and gains of business or profession”
or “Income from other sources” shall be computed in accordance with the method
of accounting regularly employed by the assessee :
Provided that in any case where the accounts are correct and complete to the
satisfaction of the Assessing
Officer but the method employed is such that, in the opinion of
the Assessing Officer, the income cannot properly be deduced therefrom, then
the computation shall be made upon such basis and in such manner as the
Assessing Officer may determine :
Provided further that where no method of accounting is regularly
employed by the assessee, any income by way of interest on securities shall be
chargeable to tax as the income of the previous year in which such interest is
due to the assessee :
Provided also that nothing contained in this sub-section
shall preclude an assessee from being charged to income-tax in respect of any
interest on securities received by him in a previous year if such interest had
not been charged to income-tax for any earlier previous year.
(2) Where the Assessing Officer is not satisfied about the correctness or the completeness of the accounts of the assessee, or where no method of accounting has been regularly employed by the assessee, the Assessing Officer may make an assessment in the manner provided in section 144.’
[R188]For Instruction No. 1310, dated 26-2-1980 and
Circular No. 491, dated 30-6-1986,
. For relevant case laws, see case laws
[R189]For Instruction No. 1310, dated 26-2-1980 and
Circular No. 491, dated 30-6-1986,
For relevant case laws, see case laws
[R190]See Notification No. SO 69(E), dated 25-1-1996 for Notified Accounting Standards.
[R191]Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-4-1999
[R192]Prior to its omission, section 146 was amended by the Finance Act, 1963, w.e.f. 28-4-1963, Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976 and Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R193]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R194]See also Circular [F. No. 45A/180/52-IT], dated 6-12-1955.
For relevant case laws, see case laws
[R195]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R196]Substituted for “, for reasons to be recorded by him in writing, is of the opinion” by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989 For the meaning of the terms/expressions “reason to believe”, “assessment”, “reassess” and “failure”
[R197]For the meaning of the terms/expressions “reason to believe”, “assessment”, “reassess” and “failure”
[R198]For the meaning of the terms/expressions “reason to believe”, “assessment”, “reassess” and “failure”
[R199]For the meaning of the terms/expressions “reason to believe”, “assessment”, “reassess” and “failure”
[R200]For the meaning of the expressions “material facts” and “not necessarily”
[R201]For the meaning of the expressions “material facts” and “not necessarily”
[R202]For the meaning of the expressions “material facts” and “not necessarily”
[R203]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R204]For Notification No. SO 1178, dated 11-2-1982
[R205]Inserted by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989
[R207]Words “not being less than thirty days,” omitted by the Finance (No. 2) Act, 1996, w.r.e.f. 1-4-1989.
[R209]Inserted by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989
[R210]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R212]Clauses (a) and (b) substituted
by the Finance Act, 2001, w.e.f. 1-6-2001. Prior to their substitution, clauses
(a) and (b), as amended by the Direct Tax Laws (Second Amendment)
Act, 1989, w.e.f. 1-4-1989, read as under :
“(a) in a case where an assessment under sub-section (3) of section 143
or section 147 has been made for such assessment year,—
(i) if four years have elapsed from the end of
the relevant assessment year, unless the case falls under sub-clause (ii)
or sub-clause (iii) ;
(ii) if four years, but not more than seven years, have elapsed from the
end of the relevant assessment year unless the income chargeable to tax which
has escaped assessment amounts to or is likely to amount to rupees fifty
thousand or more for that year;
(iii) if seven years, but not more than ten years, have elapsed from the
end of the relevant assessment year, unless the income chargeable to tax which
has escaped assessment amounts to or is likely to amount to rupees one lakh or
more for that year ;
(b) in any other case,—
(i) if four years have elapsed from the end of
the relevant assessment year, unless the case falls under sub-clause (ii)
or sub-clause (iii) ;
(ii) if four years, but not more than seven years, have elapsed from the
end of the relevant assessment year, unless the income chargeable to tax which
has escaped assessment amounts to or is likely to amount to rupees twenty-five
thousand or more for that year ;
(iii) if seven years, but not more than ten years, have elapsed from the end of the relevant assessment year, unless the income chargeable to tax which has escaped assessment amounts to or is likely to amount to rupees fifty thousand or more for that year.”
[R214]Inserted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R215]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R216]Substituted for “except by an Assessing Officer of the rank of Assistant Commissioner or Deputy Commissioner” by the Finance Act, 1990, w.e.f. 1-4-1990.
[R217]Inserted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998.
[R218]Substituted for “Deputy” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998.
[R219]Substituted for “Deputy” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998
[R220]Substituted for “Deputy” by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998.
[R221]Substituted for “in circumstances falling under clause (b) of section 147” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R222]Substituted by the Finance Act, 1989, w.e.f. 1-4-1989. Earlier sub-section (1) was substi-tuted by the Direct Tax Laws (Amendment) Act, 1987, with effect from the same date. Prior to its substitution, sub-section (1) [as it stood before its substitution by the Direct Tax Laws (Amendment) Act, 1987] was substituted by the Finance Act, 1968, w.e.f. 1-4-1968 and later on amended by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R224]Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R225]Substituted for “two years” by the Finance Act, 2001, w.e.f. 1-6-2001
[R226]Proviso substituted by the Finance Act, 2001,
w.e.f. 1-6-2001. Prior to its substitution, proviso read as under
:
“Provided that where the notice under section 148 was served on or before the 31st day of March, 1987, such assessment, reassessment or recomputation may be made at any time up to the 31st day of March, 1990.”
[R227]Substituted by the Finance Act, 2001, w.e.f.
1-6-2001. Prior to its substitution, sub-section (2A), as inserted by the
Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971 and later on amended by
the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988, read as under :
“(2A) Notwithstanding anything contained in sub-sections (1) and (2), in relation to the assessment year commencing on the 1st day of April, 1971, and any subsequent assessment year, an order of fresh assessment under section 146 or in pursuance of an order, under section 250, section 254, section 263 or section 264, setting aside or cancelling an assessment, may be made at any time before the expiry of two years from the end of the financial year in which the order under section 146 cancelling the assessment is passed by the Assessing Officer or the order under section 250 or section 254 is received by the Chief Commissioner or Commissioner or, as the case may be, the order under section 263 or section 264 is passed by the Chief Commissioner or Commissioner.”
[R228]The italicised figures and letters shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006.
[R229]The italicised figures and letters shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006.
[R230]Inserted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971
[R231]Omitted by the Finance Act, 2001, w.e.f.
1-6-2001. Prior to its omission, clause (i) read as under
:
“(i) where a fresh assessment is made under section 146;
[R235]Inserted by the Direct Taxes (Amendment) Act, 1964, w.e.f. 6-10-1964
[R236]Substituted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-1-1976 as regards clauses (i), (ii) and (iv) and w.e.f. 1-4-1976 as regards clauses (iii) and (v)
[R238]Inserted by the Finance Act, 2002, w.e.f. 1-4-2003
[R239]Substituted for “Income-tax” by the Direct Tax Laws
(Amendment) Act, 1987, w.e.f. 1-4-1988.
[R240]Substituted for “the date on which the assessee furnishes” by the Finance (No. 2) Act, 1996, w.e.f. 1-4-1997.
[R241]Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R242]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984
[R243]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R244]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004.
[R245]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004
[R246]Inserted by the Finance (No. 2) Act, 1991, w.e.f. 27-9-1991
[R247]The italicised figures and letters shall be inserted by the Finance Act, 2005, w.e.f. 1-4-2006
[R248]Substituted for “under section 250, 254, 260, 262, 263 or 264” by the Direct Taxes (Amendment) Act, 1964, w.e.f. 6-10-1964.
[R249]Substituted for “under section 250, 254, 260, 262, 263 or 264” by the Direct Taxes (Amendment) Act, 1964, w.e.f. 6-10-1964
[R251]Sections 153A, 153B and 153C inserted by the Finance Act, 2003, w.e.f. 1-6-2003
[R252]Inserted by the Finance Act, 2005, w.r.e.f. 1-6-2003
[R253]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004
[R254]Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004.
[R255]Words “this section” should be read as “sub-section (1)”
[R256]Inserted by the Finance Act, 2005, w.r.e.f. 1-6-2003.
[R257]Inserted by the Finance Act, 2005, w.r.e.f. 1-6-2003
[R258]See also Circular No. 68, dated 17-11-1971, Circular No. 71, dated 20-12-1971, Circular No. 73, dated 7-1-1972, Circular No. 87, dated 19-6-1972 in supersession of Circular No. 81, dated 26-3-1972, Circular No. 581, dated 28-9-1990, Circular No. 669, dated 25-10-1993 and Circular No. 725, dated 16-10-1995.For relevant case laws, see case laws
[R259] Substituted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. Prior to its substitution, sub-section (1) was amended by the Direct Taxes (Amendment) Act, 1964, w.e.f. 6-10-1964, the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976 and the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978 and substituted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984
[R260]For the meaning of the terms/expressions “mistake”, “record”, “mistakes apparent” and “mistake apparent from the record”
[R261]Substituted by the Finance Act, 1999, w.e.f.
1-6-1999. Prior to its substitution, clause (b), as substituted by the
Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989, read as under :
“(b) amend any intimation sent by it under sub-section (1) of section 143, or enhance or reduce the amount of refund granted by it under that sub-section.”
[R262]Inserted by the Direct Taxes (Amendment) Act, 1964, w.e.f. 6-10-1964
[R263] Words “Deputy Commissioner (Appeals) or the” omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier “Deputy Commissioner (Appeals)” was substituted for “Appellate Assistant Commissioner” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R264]Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978
[R265]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R266]Proviso omitted by the Finance Act, 1994, w.e.f. 1-6-1994. Prior to its omission, proviso was inserted by the Finance Act, 1992, w.e.f. 14-5-1992
[R267]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R268]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R270]Substituted for “from the date of the order sought to be amended” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R271]For the meaning of the term/expression “order” and “completed assessment”
[R272]Inserted by the Finance Act, 2001, w.e.f. 1-6-2001
[R273]Substituted for “Where in respect of any completed assessment of a partner in a firm” by the Finance Act, 1992, w.e.f. 1-4-1993. Earlier, the expression was amended by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989 and the Direct Tax Laws (Amendment) Act, 1987, with effect from the same date
[R274]For the meaning of the terms/expressions “order” and “completed assessment”
[R275]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984
[R276]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R277]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R278]Substituted for “from the date of the final order
passed” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R279]Inserted by the Finance Act, 1992, w.e.f. 1-4-1993
[R280]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984
[R281]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R282]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R283]Substituted for “from the date of the final order passed” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R284]Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[R285]Inserted by the Finance Act, 1987, w.e.f. 1-4-1988
[R286]Inserted by the Finance Act, 1974, w.e.f. 1-4-1975.
[R287]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R288]Substituted for “from the date of the order passed” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R289]Inserted by the Finance Act, 1976, w.e.f. 1-4-1976
[R292]Inserted by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989
[R293]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R294]Substituted for “Explanation to clause (vi) of sub-section (1) of section 32” by the Taxation Laws (Amendment & Miscellaneous Provisions) Act, 1986, w.e.f. 1-4-1988
[R297]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R298]Inserted by the Finance Act, 1965, w.e.f. 1-4-1965
[R300]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R301]Inserted by the Finance Act, 1975, with retrospective effect from 1-4-1965.
[R302]Reintroduced by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989. Earlier, it was omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1992. Original sub-section (5) was inserted by the Finance (No. 2) Act, 1980, w.e.f. 1-4-1981.
[R303]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R304]Prior to omission, sub-section (6) was amended by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R305]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R306]Substituted for “super-tax” by the Finance Act, 1965, w.e.f. 1-4-1965
[R307]Substituted for “from the date of the final order passed” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R308]Prior to omission, sub-section (7A) was inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974 and amended by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
[R309]Inserted by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-4-1985
[R310]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R311] Prior to omission, sub-section (8) was inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974 and amended by the Finance Act, 1982, w.e.f. 1-4-1983, Finance Act, 1984, w.e.f. 1-10-1984, Finance Act, 1986, w.e.f. 1-4-1987 and the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R312]Prior to omission, sub-section (8A) was inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974 and amended by the Finance Act, 1982, w.e.f. 1-4-1983, Finance Act, 1986, w.e.f. 1-4-1987 and the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R313]Prior to omission, sub-section (9) was inserted by the Finance Act, 1973, w.e.f. 1-4-1974 and amended by the Finance Act, 1978, w.r.e.f. 1-4-1974, Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984 and Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R314]Prior to omission, sub-section (9A) was inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974 and amended by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R315]Prior to omission, sub-section (10) was inserted by the Finance Act, 1973, w.e.f. 1-4-1974 and amended by the Finance Act, 1978, w.r.e.f. 1-4-1974, Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984 and Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R316]Inserted by the Finance (No. 2) Act, 1977, w.e.f. 1-4-1978
[R317]Substituted for “capital asset, not being a short-term capital asset” by the Finance Act, 1987, w.e.f. 1-4-1988.
[R318]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R319]Inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974.
[R320]Substituted for “reckoned from the date of the assessment” by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984.
[R321]Prior to omission, sub-section (10B) was inserted by the Finance Act, 1978, w.e.f. 1-4-1978 and amended by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R322]Prior to omission, sub-section (10C) was inserted by the Finance Act, 1982, w.e.f. 1-4-1983 and amended by the Taxation Laws (Amendment) Act, 1984, w.e.f. 1-10-1984 and the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1987
[R323]Inserted by the Finance (No. 2) Act, 1991, w.e.f. 1-10-1991. Earlier sub-section (11) was omitted by the Finance Act, 1985, w.e.f. 1-4-1986. Original sub-section was inserted by the Finance Act, 1974, w.e.f. 1-4-1974
[R324]Inserted by the Finance (No. 2) Act, 1991, w.e.f. 1-10-1991. Earlier sub-section (12) was omitted by the Finance Act, 1987, w.e.f. 1-4-1988. Original sub-section was inserted by the Finance Act, 1974, w.e.f. 1-4-1974
[R325]Inserted by the Finance Act, 1999, w.e.f. 1-6-1999. Earlier original sub-section (13) was inserted by the Finance Act, 1975, w.e.f. 1-4-1975 and later on omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989
[R326]Sub-sections (14) and (15) inserted by the Finance Act, 2002, w.e.f. 1-6-2002
[R327]Sub-sections (16) and (17) inserted by the Finance Act, 2003, w.e.f. 1-4-2004
[R328]Inserted by the Finance Act, 1978, w.r.e.f. 1-4-1974
[R330]“(including annuity deposit referred to in Chapter XXII-A)” omitted by the Finance Act, 1966, w.e.f. 1-4-1967. Originally, the said expression was inserted by the Finance Act, 1964, w.e.f. 1-4-1964
[R331] Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R333]See rule 15 and Form No. 7 for notice of demand. See rule 38 and Form No. 28 for notice of demand of advance tax.
[R334]Substituted for “or sub-section (1) of section 74” by the Finance Act, 1974, w.e.f. 1-4-1975
[R335]Inserted by the Finance Act, 1987, w.e.f. 1-4-1988
[R336]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988
[R337]Substituted for “or sub-section (1) of section 74” by the Finance Act, 1974, w.e.f. 1-4-1975
[R338]Inserted by the Finance Act, 1987, w.e.f. 1-4-1988.
[R339]Substituted for “Whenever a registered firm is assessed” by the Finance Act, 1992, w.e.f. 1-4-1993. Earlier the expression was amended by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989 and by the Direct Tax Laws (Amendment) Act, 1987, with effect from the same date.
[R340]Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988