Answer

1. F

   Facts

   You need proof for every item the officer has raised. The draft order and earlier notices tell you exactly what to cover.

2. P

   Provisions and law

   • Sec 144, Income-tax Act 1961 (now Sec 271)If you do not file a return or do not comply with notices under Sec 142(1) or 143(2), the officer can assess to the best of judgment after a show-cause notice giving you a date to be heard.
   • Sec 142(1), Income-tax Act 1961 (now Sec 268(1))The officer can ask you to file a return or produce accounts, documents and information.
3. A

   Analysis

   Typical list: bank statements for all accounts for the year, Form 16 and salary slips, AIS and Form 26AS, broker capital gains statements, property papers and loan letters, and proof of any gifts. Make a computation of total income and tax. For each AIS item, note whether it is income, not income, or belongs to someone else.

4. C

   Conclusion

   1. 1Download AIS, TIS and Form 26AS for the year.
   2. 2Collect bank statements for every account.
   3. 3Gather salary, investment and property documents.
   4. 4Prepare a computation of income.
   5. 5Index everything in the order of the officer's questions.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.