ITR
Best judgment assessment after missing replies
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Facts
If you do not comply with a Sec 142(1) notice, the officer can make a best judgment assessment under Sec 144. You can appeal to the Commissioner (Appeals) within 30 days, and in some cases also seek rectification of clear errors.
Provisions and law
- Sec 144 (now Sec 271)Best judgment assessment if the person fails to comply with a Sec 142(1) notice
- Sec 246A (now Sec 357)Appeal to the Commissioner (Appeals)
- Sec 154 (now Sec 287)Rectification of mistakes apparent from record
Analysis
In the appeal, explain why you could not reply, such as the notice going to an old email, and file the evidence you would have given. The Commissioner (Appeals) can admit additional evidence where there was a reasonable cause. If the order added ₹12 lakh of bank credits as income and you have loan papers and sale deeds, put them in the appeal. Also check whether a penalty notice has come along with the order, as that needs its own reply.
Conclusion
- Download the assessment order, demand notice and any penalty notice
- File Form 35 within 30 days with grounds and the reason for non-compliance
- Attach the documents you could not file earlier
- Respond to any outstanding demand saying an appeal is filed
A Savvy can do this for you
Inquiry before assessment, Sec 142(1) (now 268(1))
₹4,999
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