Completion of cases reopened u/s 146 and application of limitatiion us/ 153(2A) - Income Tax - 511/CBDT

INSTRUCTION NO. 511/CBDT Dated : Feburary 22, 1973 Section(s) Referred: 146 ,251 ,254 ,263 Statute: Income - Tax Act, 1961 Attention is invited to Board's Circular No.10-P(V-68) of 1968 F.No.22/15/68-IT(Inv.) dated 15.10.1968, wherein it was desired that assessments which had either been reopened under section 146 or which had been set aside should normally be completed within a period of two years. 2. The pendency of set aside cases under sections 146, 251, 254 and 263 for assessment year 1970-71 and earlier years as on 31-3-1971 and 31-3-1972 was 12,923 and 10,877 respectively. The progress of disposal of these cases has not been satisfactory. This has attracted adverse notice of the Public Accounts Committee. The Board, therefore, desire that the Commissioners should draw up and enforce a time bound program to ensure that all pending set aside assessments for assessment year 1970-71 and earlier years are finalised by 30.7.1973. The Commissioners should call for reasons for non-finalisation of any case after the due date and unless there are unavoidable circumstances to the satisfaction of Commissioners, they should take serious view for in-action on the part of the Income-tax Officers. The statutory limit of 2 years in section 153(2A) applies from assessment year 1971-72 onwards.