Summary assessment u/s 143(1) - Income Tax - 535/CBDT

INSTRUCTION NO. 535/CBDT Dated : March 29, 1973 Section(s) Referred: 143(1) ,143(3) Statute: Income - Tax Act, 1961 Reference is invited to the Board's letter No. F. 22/63/68-IT(Inv.) dated 18-1-68, urging that copies of the assessment orders should invariably be sent along with the demand notices and challans/refund vouchers etc., and delivered to the assessees within a fortnight of the completion of the assessment. 2. Section 143 of I.T. Act, 1961 was amended with effect from 1-4-71 to provide for summary assessments u/s 143(1) in comparatively unimportant cases leaving important cases for detailed assessment u/s 143(3) after necessary enquiries. Section 143(3) requires an assessment order 'in writing' whereas Section 143(1) because of summary procedure involved only speaks of making assessments of the total income/loss and determination of sum payable by the assessee or refundable to him on the basis of such assessment. 3. It has been brought to the Board's notice that sometimes for summary assessments completed, the assessees do not receive along with the demand notices and challans, copies of computations showing how any particular item had been added or deleted or treated as exempt from tax. The Commissioner of Income-tax, Delhi has devised a proforma for a standard assessment order u/s 143(1) vide copy printed below. The proforma is filled in where the assessee's returned income is modified; in cases where the assessee's returned income is accepted without any change, a rubber stamp in token of accepting the return is affixed on the face of the assessment form (ITNS 150) the stamp being to the effect "Assessed u/s 143(1) on a total income of Rs......". 4. The above-noted procedure followed in Delhi charge meets the requirements of Section 143(1) and it is recommended for adoption in other Commissioners' charges also, unless a similar procedure has already been evolved in those charges. The relevant proforma as detailed above for summary assessments (modifying returned income) or, as the case may be detailed assessment orders in the case of scrutiny assessments should invariably be sent along with demand notices and challans/refund vouchers. The assessment documents should be delivered to the assessees within a fortnight of the completion of the assessment. 5. All officers in your charge may please be advised accordingly.