Best judgment assessment
Best judgment assessment.
144. If any person—
(a) fails to make the return required 38[under sub-section (1) of section 139] and has not made a return or a revised return under sub-section (4) or sub-section (5) of that section, or
(b) fails to comply with all the terms of a notice issued under sub-section (1) of section 142 39[or fails to comply with a direction issued under sub-section (2A) of that section ], or
(c) having made a return, fails to comply with all the terms of a notice issued under sub-section (2) of section 143,
the 40[Assessing] Officer, after taking into account all relevant material which the 40[Assessing] Officer has gathered, 41[shall, after giving the assessee an opportunity of being heard make the assessment] of the total income or loss to the best of his judgment and determine the sum payable by the assessee 42[* * *] on the basis of such assessment:
43[Provided that such opportunity shall be given by the Assessing Officer by serving a notice calling upon the assessee to show cause, on a date and time to be specified in the notice, why the assessment should not be completed to the best of his judgment:
Provided further that it shall not be necessary to give such opportunity in a case where a notice under sub-section (1) of section 142 has been issued prior to the making of an assessment under this section.]
38. Substituted for "by any notice given under sub-section (2) of section 139" by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
39. Inserted by the Taxation Laws (Amendment) Act, 1975, w.e.f. 1-4-1976.
40. Substituted for "Income-tax" by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988.
41. Substituted for "shall make the assessment" by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
42. "or refundable to the assessee" omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
43. Inserted, "or refundable to the assessee" omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.
[As amended by the Finance Act, 1989 and the Direct Tax Laws (Amendment) Act, 1989]