A new re-assessment regime has been introduced under the Income-tax Act, 1961 (‘Act’) with effect from 1st April 2021 bringing in sweeping changes in both law and practice. While the erstwhile scheme was founded upon the Assessing Officer’s “reason to believe” that income chargeable to tax has escaped assessment, the new regime is centered around robust information collection mechanism (including inter departmental communications) being developed by the CBDT. The new provisions merely require existence of documents/ evidence which “suggests” and “reveal” that income chargeable to tax has escaped assessment.
In the absence of express law on natural justice under the earlier regime, the Courts intervened and mandated the Assessing Officer to follow principles of natural justice by communicating the reasons for initiating re-assessment and by disposing off taxpayer’s objections on reopening by way of a speaking order. This procedure has now been codified in Section 148A of the Act.
Lakshmikumaran & Sridharan Attorneys, is organizing a webinar on 16 June 2022 (Thursday) between 4 PM and 5PM, for an in-depth understanding of the new regime of re-assessment under the Act. The webinar would cover:
- Background on the new regime of re-assessment
- Deviation in the provisions relating to re-assessment vis-à-vis the old regime
-Status of re-opening based on audit objections
-Protection where there is full and true disclosure
-The need for income to be represented in the form of assets, expenditure, and “entry in books of accounts”
- Principles formulated under the old regime which still hold good
-Fresh tangible material
-Roving and fishing enquiries. - Certain practical aspects and case studies
Speakers
- S Sriram - Partner, L&S Attorneys
- Neha Sharma – Senior Associate, L&S Attorneys