20 September 2011
six assessment years immediately preceding the assessment year relevant to the previous year in which the search & seizure was conducted
18 July 2024
The terms "search" and "survey" refer to distinct actions under Indian tax laws, specifically under the Income Tax Act, 1961. Here are the major differences between a search and a survey, as per Sections 132 and 133 of the Income Tax Act:
### Search (Section 132):
1. **Authority:** - Conducted by income tax authorities such as the Income Tax Department.
2. **Purpose:** - Conducted to unearth undisclosed income, assets, or documents that may not be disclosed in the regular course of business.
3. **Procedure:** - Involves entering and searching premises (including physical locations and electronic records) with or without prior notice. - Authorized officers have the power to seize documents, assets, or cash found during the search. - Statements of persons may be recorded under oath.
4. **Scope:** - Comprehensive in nature, aimed at uncovering undisclosed income and assets. - Typically conducted in cases where there is suspicion of tax evasion or undisclosed income.
5. **Legal Consequences:** - Non-cooperation or hindrance during a search can lead to penalties and adverse legal actions under the Income Tax Act.
### Survey (Section 133A):
1. **Authority:** - Conducted by income tax authorities.
2. **Purpose:** - Conducted to gather information or verify details related to the taxpayer's business or income.
3. **Procedure:** - Does not involve entering and searching premises forcefully. - Typically conducted by visiting the premises (office, business establishment, etc.) of the taxpayer. - Officers may ask questions, examine books of accounts, and verify records.
4. **Scope:** - Limited compared to a search; primarily aimed at gathering information or verifying compliance. - Does not include seizure of assets or documents.
5. **Legal Consequences:** - Non-cooperation or obstruction during a survey can lead to penalties under the Income Tax Act, but typically not as severe as those for non-cooperation during a search.
### Key Differences:
- **Nature:** Search is invasive and aimed at uncovering undisclosed income/assets, while survey is less intrusive and for gathering information.
- **Authority to Seize:** Only a search allows authorities to seize assets/documents; survey does not involve seizure.
- **Purpose:** Search targets undisclosed income/assets, whereas survey aims at verification and gathering information.
- **Legal Ramifications:** Non-cooperation during a search can lead to harsher penalties compared to non-cooperation during a survey.
In summary, while both search and survey are tools used by income tax authorities to ensure tax compliance, they differ significantly in terms of procedure, purpose, and legal consequences under Sections 132 and 133 of the Income Tax Act, 1961.
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