14 July 2024
Yes, the term "regular assessment" does include reassessment. Here's how it works:
**Regular Assessment:** - Regular assessment refers to the normal process of assessing or evaluating the income tax liability of an assessee for a particular assessment year. This process involves the assessing officer (AO) scrutinizing the taxpayer's return of income, books of accounts, and any other relevant documents to determine the total income or loss, deductions claimed, and the tax liability.
**Reassessment:** - Reassessment, on the other hand, occurs when the Assessing Officer (AO) believes that income has escaped assessment in the original assessment proceedings. This could happen due to various reasons, such as failure to disclose certain income, incorrect computation of income, or other circumstances where the AO has reason to believe that income chargeable to tax has escaped assessment.
**Inclusion of Reassessment:** - When we refer to "regular assessment," it encompasses both the initial assessment conducted based on the taxpayer's return of income (original assessment) and any subsequent reassessment undertaken by the AO if income is found to have escaped assessment (reassessment).
Therefore, within the context of income tax assessments under the Income Tax Act, "regular assessment" covers the entire process of assessing income for a particular assessment year, which includes both the initial assessment and any subsequent reassessment that may be conducted if required.
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