Clause 148 - Self-reporting of tax bases - Direct Taxes Code Bill, 2009

B. - Assessment Procedure Self-reporting of tax bases 148. (1) Every person shall furnish a return of tax bases before the due date. (2) The person referred to in sub-section (1) shall,- (a) in relation to income, be the following:- (i) an individual, if his gross total income from ordinary sources exceeds the threshold limit; (ii) a company; (iii) a firm; (iv) a non-profit organisation; (v) a political party; (vi) any person who intends to carry forward the loss or any part thereof in accordance with the provisions of this Code; (vii) any person who derives any income from special sources and is liable to pay income-tax thereon; and (viii) any other person, if his gross total income from ordinary sources exceeds the threshold limit; (b) in relation to dividend distributed, be the following:- (i) a company resident in India; and (ii) a mutual fund; (c) in relation to net wealth, be an individual, a Hindu undivided family or a private discretionary trust, if their net wealth exceeds the maximum amount which is not liable to wealth-tax. (3) The return of tax bases referred to in sub-section (1) shall be a return in respect of the tax bases of the person referred to in sub-section (2) or the tax bases of any other person in respect of which such person is assessable for the relevant financial year. (4) The return of tax bases shall be,- (a) verified in the prescribed form and manner and setting forth such other particulars as may be prescribed;and (b) furnished to the Income-tax Department or such other authority or agency as may be prescribed. (5) The forms of the return referred to in sub-section (4) shall, in such cases as may be prescribed, require the assessee to furnish particulars relating to the following:- (a) income exempt from tax; (b) assets of the prescribed nature and value; (c) bank account and credit card held; (d) expenditure exceeding the prescribed limits incurred by him; and (e) such other outgoings as may be prescribed. (6) A person may, if he discovers any omission or any wrong statement in the return of tax bases furnished by him under sub-section (1), revise such return at any time before the expiry of twenty-one months from the end of the relevant financial year or before the completion of the assessment, whichever is earlier. (7) A person may furnish the return for any financial year at any time before the expiry of twenty-one months from the end of the relevant financial year or before the completion of the assessment, whichever is earlier if - (a) such person has not furnished a return by the due date; and (b) no notice under sub-section (1) if section 151 or sub-section (1) of section 152 has been served on him. (8) The Assessing Officer may, if he finds that the return has not been furnished by any person in the prescribed form and manner or does not contain the particulars, as required under sub-section (4), intimate to such person the deficiency and allow an opportunity to such person to remove the deficiency within thirty days from the service of the intimation. (9) The Assessing Officer shall treat the return filed by a person as invalid, if the deficiency referred to in sub-section (8) is not removed within the time allowed and the provisions of the Code shall apply as if the person had failed to furnish the return. (10) The return of tax bases of a person specified in column (2) of the Table 5 below shall be signed and verified by a person specified in Column (3) of the said Table: TABLE 5 Sl. No. Person furnishing the return Person to sign and verify the return (1) (2) (3) (1) Individual being mentally incapacitated from attending his affairs (a ) guardian of the individual; or (b) any other person duly competent to act on his behalf (2) Any other Individual (a) Individual himself; or (b) any person duly authorized by the individual in this regard, if the individual is absent from India or for some other reason it is not possible for him to sign the return, and other person holds a valid power of attorney from the individual to do so. (3) Hindu undivided family (a) Karta of the d family; (b) or any other adult member of the family if the karta is absent from India or is mentally incapacitated from attending to his affairs (4) company not being resident in India Any person who holds a valid power of attorney from the company to do so (5) (a) Company which is being wound court or otherwise; or (b) company where any person has been appointed as the receiver of any assets of the company Liquidator referred to in clause (g) of sub-section 1of section 170. (6) Company whose management has been taken over by the Central Government or any State Government under any law Principal officer of the company (7) Any other company (a) Managing director of the company, or (b) any director of the company if there is no managing director or the managing director, for any unavoidable reason is not able to sign and verify the return. (8) Firm (a) managing partner of the firm; or (b) any partner (not being a minor) of the firm if there is no managing partner or the managing partner, for any unavoidable reason, is not able to sign and verify the return (9) Limited liability partnership (a) designated partner of the limited liability partnership; or (b) any partner (not being a minor) of the limited liability partnership if there is no designated partner or the designated partner, for any unavoidable reason, is not able to sign and verify the return (10) Local authority Principal officer of the authority (11) Political party Chief executive officer (whether such Chief executive officer is known as secretary or by any other designation) of the party (12) Any other association of persons Any member or the principal officer of the association (13) Any other person (a) person himself; or (b) any person competent to act on this behalf. (11) Any person who is otherwise not required to furnish a return of tax bases under sub-section (1) may furnish a return of tax bases before the expiry of the twenty one months from the end of the relevant financial year and all the provisions of this Code shall, as far as may be, apply as if it is a return furnished under that subsection.