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TMI Blog2020 (8) TMI 28X X X X Extracts X X X X X X X X Extracts X X X X ..... nt assessment. It does not mandate that the steps for completing the best judgment assessment should be initiated only after 31st December, following the end of the financial year, in which the default as regards filing of monthly returns occured. Section 62 of the Act must be seen as enabling an Assessing Officer to proceed to assess the tax liability of a person, who has not furnished the returns inter alia under Section 39, even after service of notice under Section 46, on best judgment basis, and thereafter issue the assessment order within a period of five years from the date indicated under Section 44 for furnishing of the annual returns. Hence, while the best judgment assessment can be done immediately after detection of the failure ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payment of interest or payment of late fee under Section 47. The learned counsel for the petitioner would, however, contend that, in as much as the provisions of Section 62(1) make a reference to Section 44 of the Act, which deals with the furnishing of annual returns, and enables the assessing authority under Section 62 of the Act, to pass assessment orders on best judgment basis within a period of five years from the date specified under Section 44 for furnishing of annual returns, the best judgment assessment itself could have been completed only after December of the financial year, which is the period mentioned in Section 44 of the CGST Act. The contention, in other words, is that in as much as the petitioner has a period till 31st of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... furnishing of the annual returns. Hence, while the best judgment assessment can be done immediately after detection of the failure to file the returns despite service of notice, the outer time limit for completing the best judgment assessment is five years from the date specified under Section 44 of the Act. The time limit of five years indicated in S. 62 (i) has to be seen as the outer limit prescribed by the statute for the exercise of power by the assessing authority, and not as indicative of any particular point in time from when, after detection of the default committed by the assessee, the assessing authority can proceed to complete the assessment on best judgment basis. In the instant case, it is not in dispute that the petitioner ..... X X X X Extracts X X X X X X X X Extracts X X X X
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