07 September 2013
For making of assessment, the Assessing officer may serve on any person a notice under sec. 142(1), for the following purpose:
Return of Income-
If the assessee has not submitted a return of income within the time under sec. 139(1) or before the end of the relevant assessment year. The assessing officer may require him to submit the return in the prescribed for and in a date specified in the notice. Such notice can be served during the assessment year or in the end of the year.
Document and accounts-
The assessing officer shall not require the production of any accounts pertaining to a period more than 3 years prior to the previous year
Furnishing information-
The assessing officer may require the assessee to furnish information; however, the previous year shall be obtained before requiring the assessee to furnish a statement of all assets and liabilities not included in the accounts.
The return of a tax payer can be selected for scrutiny. First requirement for selection of scrutiny u/s 143(2) of the I T Act to followed by assessing officer is to serve the notice u/s 143(2) on assessee before last date of service. Income Tax Act however provides time limit within which a notice u/s 143(2) can ve served by the assessing officer to the taxpayer . The time limit is provided u/s 143(2) is as under:
Provided that no notice under clause (ii) shall be served on the assessee after the expiry of six months from the end of the financial year in which the return is furnished.
Therefore , the question is if you filed return for asst. year 2009-10 , then 30.09.2010 will be the last date by which you must get the notice u/s 143(2) of the I T Act.
In the instant case the notice was served on 24.09.2011 and hence it is bad in law and illegal, hence reply to the AO that the case is time barred and cannot be taken up for scrutiny.
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