Summary assessment scheme-Steps taken for accelerating the pace of assessments - Income Tax - 201/1976

Summary assessment scheme-Steps taken for accelerating the pace of assessments Circular No. 201 Dated 5/7/1976 To All Commissioners of Income-tax. Subject: Summary assessment scheme-Steps taken for accelerating the pace of assessments. Sir, The Board attahes very great importanace to the successful implementation of the Summary Assessment Scheme, so that the genuine small tax-payers, who form nearly 70% of the total number of taxpayers borne on our registers, are not put to the avoidable inconvenience of appearing before the Income-tax Officers to prove the correctness of the income returned by them. During the current year, the Board has fixed a target of 70% of all assessments to be completed under the Summary Assessment Scheme and only a small percentage of cases are selected on an objective and rational basis for scrutiny. The remaining cases will be completed summarily without calling the taxpayer to appear before the ITO with his books of account, etc. With a view to bring home the advantages of this Scheme to the taxpayer, a massive campaign of taxpayer education was recently undertaken by the department explaining the various provisions of the tax laws with particular emphasis on the details and advantages of the Summary Assessment Scheme. This programme of taxpayer education will be a continuing process. 2. However, the success of this Scheme depends, to a large extent, on the co-operation of the taxpayers and their advisers. In order to enable the ITO to complete the assessment in a summary manner ane in accordance with law, the returns of income should be correct and complete in all respects, ane be accompanied by copies of trading and profit and loss accounts , balance-sheet, etc., that are required under the Rules. It is also necessary that evidence in support of rebates, reliefs and tax credit, etc., claimed should accompany the returns. To remove any misgivings regarding the safety of these documents steps have been taken to streamline the procedure for receipt and registration of returns in the income-tax offices and to ensure that documents accompanying the returns are properly docketed. 3. The above steps taken to accelerate the pace of assessments in a summary manner in all suitable cases may be brought to the notice of the general public. Yours faithfully, (Sd.) K.C. Mahadevan, Director, Central Board of Direct Taxes.