CBDT instructs Income tax officer to complete 148/ 147 assessment before 31.05.2023

We all remember the Landmark Judgement of Hon’ble Supreme court in relation to notice issued u/s 148 of the Income Tax Act after 01.04.2021 in case of Union of India & Ors. Versus Ashish Agarwal CIVIL APPEAL NO. 3005/2022 and CBDT instructions issued after that in instruction no. 01/2022 Dt. 11.05.2022 wherein instructions were issued to income tax officer to conduct assessment/ reassessment after judgement of Hon’ble Supreme Court.

Although everyone did not agree with the instructions issued by CBDT and it’s interpretation of Hon’ble Supreme Court judgement and many people are fighting it’s case in various High Court. However, now considering it’s instructions and judgement of Hon’ble Supreme Court, CBDT has again come up with an instructions for Income Tax officer Dt. 27.01.2023 which are as under:

In the said instructions a video conference of Hon’ble CBDT chairman has been discussed wherein it has been mentioned that considering the video conference of Hon’ble CBDT Chairman it is instructed to all officers to complete the reassessment initiated after Hon’ble Supreme Court order should be completed till 31.05.2023.

If we read provisions of section 153 of the Income Tax Act which defines the deadline to complete assessment proceedings, it can be seen that an assessing officer has 12 months from the end of year in which notice has been issued u/s 148 to complete reassessment proceedings u/s 147 of the Income Tax act. Accordingly, it can be said that CBDT is instructing it’s officers to complete the proceedings before time.

Hence, all the assessee and Chartered Accountants should get ready as notices will start coming in as the deadline to complete assessment is approaching soon. If you also need any assistance you can contact our experts at link provided below.