The assessments made in the case of a public sector undertaking. - Income Tax - 361/CBDT

INSTRUCTION NO. 361/CBDT December 22, 1971 Section(s) Referred: 143(3) Statute: Income - Tax Act, 1961 In the course of the last meeting of the Public Accounts Committee held in October, 1971 for considering the C AG's Revenue Audit Reports for 1970 and 1971(for the year 1969-70) the assessments made in the case of a public sector undertaking came up for discussion. The committee felt that the concerned ITO had not scrutinised the returns and claims for deductions and allowance made by the assessee, as thoroughly as one expects in other cases of comparable volume of business. They desired the ITOs and other Income-tax authorities to be instructed not to discriminate or appear to discriminate between the assessments of public sector undertakings and those of other assessees. 2. The Board would like to impress on the ITOs and other Income-tax authorities that they are anxious to have any misgivings in this respect dispelled by impartial and thorough scrutiny of the returns of income and claims for deductions and allowances of the public sector undertakings to the same extent as in the case of any other assessee with comparable turnover or income. 3. The instructions may please be brought to the notice of all officers assessing the case of public sector undertakings in your charge.