Scrutiny Assessment u/s 143 (3) of Income Tax Act, 1961 | AY 2019-20 | Taxpundit
Every taxpayer has to furnish the details of his income to the Income-tax Department. These details are to be furnished by filing his return of income. Once the return of income is filed by the taxpayer, the next step is the processing of the return of income by the Income-tax Department. The Income-tax Department examines the return of income for confirming its correctness. The process of examining the return of income by the Income-tax Department is called “Assessment”. Assessment also includes re-assessment or best judgment assessment under section 144.
Under the Income-tax Law, there are four major assessments as given below:
1. section 143(1), i.e., Summary assessment without calling the assessee i.e. taxpayer.
2. Assessment under section 143(3), i.e., Scrutiny assessment.
3. Assessment under section 144, i.e., Best judgment assessment.
4. Assessment under section 147, i.e., Income escaping assessment.
Meaning of Scrutiny Assessment :
Assessment u/s 143(3) is a detailed assessment and is referred to as scrutiny assessment. At this stage, a detailed scrutiny of the return of income will be carried out. The scrutiny is carried out to confirm the correctness and genuineness of various claims, deductions, etc., made by the taxpayer in the return of income.
Scope of Assessment u/s 143(3) :
The objective of scrutiny assessment is to confirm that the taxpayer has not understated the income or has not computed excessive loss or has not underpaid the tax in any manner.
To confirm the above, the Assessing Officer carries out a detailed scrutiny of the return of income and will satisfy himself regarding various claims, deductions, etc., made by the taxpayer in the return of income.
Procedure of Scrutiny Assessment :
In case of Assessment under section 143(3), a scrutiny is carried out to confirm the correctness and genuineness of various claims, deductions, etc., made by the taxpayer in the return of income. The other procedures in this regard are as follows:
1. If the Assessing Officer or prescribed income tax authority considers it necessary or expedient to ensure that the taxpayer has not understated the income or has not computed excessive loss or has not underpaid the tax in any manner, then he will serve on the taxpayer a notice requiring him to attend his office or to produce or cause to be produced any evidence on which the taxpayer may rely on in support of the return.
2. The provisions of notice are governed by section 143(2). In other words, to carry out assessment under section 143(3), the Assessing Officer should serve a notice under section 143(2).
3. Notice under section 143(2) shall be served on the taxpayer within a period of six months from the end of the financial year in which the return is filed.
4. The taxpayer or his representative (as the case may be) will appear before the Assessing Officer and will place his arguments, supporting, etc., on various matters/issues as required by the Assessing Officer.
5. After hearing/verifying such evidence and taking into account such particulars as the taxpayer 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 taxpayer and determine the sum payable by him or refund of any amount due to him on the basis of such assessment.
Time Limit for making Assessment u/s 143(3) :
As per section 153, the time limit for making assessment under section 143(3) is:-
1. Within 21 months from the end of the assessment year in which the income was first assessable. [For assessment year 2017-18 or before]
2. 18 months from the end of the assessment year in which the income was first assessable. [for assessment year 2018-19]
3. 12 months from the end of the assessment year in which the income was first assessable [Assessment year 2019-20 and onwards]
Note: If reference is made to TPO, the period available for assessment shall be extended by 12 months
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Пікірлер: 79
Hi sir Aap Jo knowledge de rahe ho Uske charges hi bahot he market me Thank u sir Regards CA ASPIRANT
Well explained sir, thanks a lot🙏
Thanx for valuable information 🙏
Appreciable but res sir always care full for Fy Ay years not be same.... Except that error it is Easy to understand your lecture tq very much
If the assesse files return on 26th Sept. and notice u/s 143 (2) is served on the assesse on 3rd Oct. do the assesse reject the same by calling it invalid?
Thank you so much for this informative video. You have very succinctly captured the scope, timelimit and procedure for making assessment u/s 143(3). I have two questions: (i) If a case is re-opened u/s 147 or 148 (re-assessment proceedings) within four or six years (as applicable) and notice u/s 143(2) is also issued, is it considered valid? If valid, is there any time limit within which notice u/s 143 (2) can be issued after re-opening proceedings for re-assessment? (ii) What can the assessee do after an order has been passed u/s 143 (3)? Does the assessee have a right to know the basis on which order u/s 143(3) has been passed? Is there scope to object to the observations/assessment by the AO? Or is appeal the only way to raise objection? Thank you.
Very informative video
Assessee is a partnership firm and got the 143(3) assessment order by DCIT, December 2019 for the fy-2016-17. Whether this file can review by anybody ? If yes then how and under which section? How can handle this situation
Sir well explained thanks
Sir, Thanks for the easy teaching about 143 (3). If 143 (2) not issued within 6 months from completion of an AY then can we settle TDS, ADVANCE TAX, SELF ASSESSMENT TAX and TAX LIABILITY entries on the base of 143 (1)? Our auditor argues that we have to continue for 8 years, we can't take effect of 143 (1) in books before 8 years. If we take effect of 143 (1) in books then if there may be any notices regarding assessment then we can appeal or agree upon demand and act as well. What is the need to continue for 8 years? Is there any provision of penalty if we settle entries in books as per 143 (1)? What about refund credited to bank along with interest? If have to continue for 8 years then which ledger will be credited against received refund? Pls justify this issue and suggest me best way to escape from such long carry forward process as auditor suggest.
Very nice and proper
Thanks Sir 👍
I hope there is no time limit to issue notice/s142(1),so can the Assessing officer issue notice after 6 months from the end of the year in which I T R was filed
Thanks sir
Superb explanation sir. I am getting ur fan. Subscribed
@TaxPundit
3 жыл бұрын
Thanks
Thank you sir g
Very good
Sir is there any time limit increase during covid
For aassment year 20-21 ka 143(3) ka reply kab tak hoga ...kya isme corona ka time add hoga
tq so.. much sir 🙏
Sir Agar Survey ke badd scrutiny aati he to uska closing kab tak karna padta he.? Thanks
Sir mera case 143(3) ay1920-21 limited secutiny m 29/6/2021 se chal rha h hamne reply time per de diye h last reply 20/1/2022 ko de Diya h uske baad m ao ki taraf se kuch nahi aa rha h Ab hamara order kab tak ayega
Sir I received ITR 143(3) letter without ITR 143(2) notice for F.Y. 2018-19. ITR. 143(3) letter received on 14 October 2023. What I do?
Sir u r best.
@lxldigvijaylxl
4 жыл бұрын
during demonization m old note deposit hue the ...jo ki business rotation ki wajah se ho gaya tha or 8 tarik ka cash market mai tha jo further 9 ke bad collection hua old currency mai.. ITO ne sab facts samjhe or fir bhi old currency ko 69a mai laga ke income from other source karke tax calculate kar diya jitna bhi old currency deposit hui thi or us pe 60%tax+25surcharge and 16-17 se is tax pe interest laga ke order issue kar diya ...i need suggestions from u what i do further ....i need second suggestions
Income tax ka audit kaise karte hai, audit para kaise nikalte hai
Itba/nfac/apc notice aya hai kya kare
Dear sir for my assessment year 2017-18 e proceeding for 143(3) is still going on and showing proceeding limitation date as 31-12-2019, also it shows rectification rights transferred to ast. What does this mean?
@TaxPundit
4 жыл бұрын
It means the assessment order must be passed on or before 31.12.2019. Since assessment is pending rectification application can be disposed only by the A.O.
@HarshitGupta2009
4 жыл бұрын
Tax Pundit thanks sir, so no action is required from my side as I already replied to notice online. And just need to wait right?
Sir I have got a msg u/s 143(1) what shud I do. No details have been received
@TaxPundit
4 жыл бұрын
Login to incometaxindiaefiling.gov.in and check the status of the Return filed.
Sir I received notice under sec 148 which I replied by revising return which notice will come after wards. AY 2018 19 when will this case ends.
@RATAN_BHUIYA
Жыл бұрын
Apko penalty bhi lagi thi kya?
What is Intimation U/S 143(1)
@TaxPundit
4 жыл бұрын
There are 4 types of assessments in income tax law. This is one of them and is called summary assessment.
What happened if we can't give reply
what is different between 142(1) and 142(2)
@TaxPundit
4 жыл бұрын
142(1) gives power to AO to serve a notice whereas 142(2) gives power to make any inquiry which AO considers necessary.
@samyakchemie8767
3 жыл бұрын
@@TaxPundit sir , which is the last date for issuing a scrutiny notice for AY 2019-20 ??
Sir, i am in great trouble help me Sir jaise market me banking kiosk hote ha jo paise bejte ha aur commission lete ha vaise hi mene paise bej diye bahut se logo ke aur commission le liya 15 rupees per 10000 rupees Pe paise mere bank account me deposit kar deta tha aur unko imps kar deta tha, mere pas koi licence nai ha Aesa karte-karte mere account me 15 lac deposit ho gaye saving account me AY 2019-20 me Sir ab me kya karu kuch samaj nai aa raha, bahut logo ke paise beje jo sare bihar se belong karte the, me un logo ko nai janta, me 15-20 rupees leta tha isliye vo mere pas aate the normally market me 200 rupees lete ha per 10000 bejne ke, help me sir Pls sir help me
Is there any video on how to file rental income itr
@TaxPundit
4 жыл бұрын
kzread.info/dash/bejne/da1-vLCfnqXVh6w.html
@geeta1911
4 жыл бұрын
@@TaxPundit it is well explained. I need to know one more thing that I get wpf pension and never mentioned this in any itr till date Is it okay? Also since I have two bank accounts, one combined with son and one individual..doni need to mention both and interests received in both
@geeta1911
4 жыл бұрын
I get my pension in joint ac
@TaxPundit
4 жыл бұрын
You have to shown pension in ITR. Also interest on joint account.
@geeta1911
4 жыл бұрын
@@TaxPunditsince my itr person has not shown in last 8 years separately, so would it create any trouble
Sir, for FY 16-17 they had issued notices from Aug19 onwards few were not reached to me..on 15th Dec2019 they passed assessment order..was it correct ?
@venkateshwaralutb8695
3 жыл бұрын
15 th dec passed order
Sir E-Assessment video pls
यदि कोई व्यक्ति के पास 2019 में income tax जमा करने के बाद 2 लाख बचत होती है , ओर 2020में उसकी आय 6 लाख हो जाय तो क्या 2019 की 2लाख की बचत को 6लाख में जोड़कर आयकर लिया जाएगा
@TaxPundit
4 жыл бұрын
नही सर। इनकम टैक्स एक बार ही भरना होता है।
@vedsiasranchi3811
4 жыл бұрын
@@TaxPundit Income tax saving on gold sovereign bond explain kare ek vedio bana ke
@pandharipande958
2 жыл бұрын
@@TaxPundit l received order u/s 143(1) order is not rectified from 2016 .can get order u /s 143(2) from A . o ?
143(1) may again be explained
@TaxPundit
4 жыл бұрын
Ok
I have received a notice of 143(2) and 142(1) for the financial year 2012-2013
@TaxPundit
4 жыл бұрын
This may be a case of assessment u/s 147. In such situation the notice should have been issued u/s 148. Please check earlier notices and find out whether notice u/s 148 is received by you or not.
@geeta1911
4 жыл бұрын
@@TaxPundit thank you very much I have sent you another msg asking for same..now they say that I overspent 70 k app. So how much tax will they ask me on that
Sir...... I got a lot of confusion out of my head because of this video
@TaxPundit
4 жыл бұрын
धन्यवाद सर, इस वीडियो को देखने के बाद आपके कन्फ्यूजन दूर हो गए है या आप और ज्यादा कन्फ्यूज हो गए है? कृपया स्पष्ट करे। धन्यवाद।
@paraschandel2162
4 жыл бұрын
Sir aasaan ho gaya mere liye ye section..... Aapka dil se dhanyawaad karta hoon. Bahut bahut abhaar.... 🙏🙏🙏🙏🙏
@TaxPundit
4 жыл бұрын
Thank you Sir. Keep watching & sharing our videos.
Apne ay 2019-20 likha or fy bhi 2019-29 likha
@TaxPundit
4 жыл бұрын
"FY in which Return is filed" = 2019-20
PAN: AAWPW1885B AY: 2017-18 Dated: 09/10/2019 Notice No : ITBA/AST/F/142(1)/2019-20/1018701113(1) Notice under Sub Section (1) of Section 142 of the Income Tax Act, 1961 Sir/ Madam/ M/s, In connection with the assessment for the assessment year 2017-18 you are required to: a) Furnish or cause to be furnished on or before 14/10/2019 at 04:10 PM the accounts and documents specified overleaf. b) Furnish and verified in the prescribed manner under Rule 14 of I.T. Rules 1962 the information called for as per annexure and on the points or matters specified therein on or before 14/10/2019 at 04:10 PM. c) The above mentioned evidence/information is to be furnished online electronically in 'E-Proceeding' facility through your account in 'e-filing' website of Income Tax Department. d) Para(s) (a) to (c) are applicable if you have an account in e-filing website of Income Tax Department. Till such an account is created by you, assessment proceedings shall be carried out either through your e-mail account or manually (if e-mail is not available). e) In cases where order has to be passed under section 153A/153C of the Income Tax Act, 1961 read with section 143(3), assessment proceedings would be conducted manually. Yours faithfully SIR I HAVE RECIEVED THIS NOTICE HOW CAN I RESPOND THIS NOTICE .KINDLY SUGGEST ME.
@TaxPundit
4 жыл бұрын
You have to submit details asked for in the letter.
SIR i need your contact
@TaxPundit
4 жыл бұрын
Pls ask your question here