Best judgment assessment.
78144. 79[(1)] If any person—
(a) fails to make the return required 80[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
81[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 82[Assessing] Officer, after taking into
account all relevant material which the 82[Assessing]
Officer has gathered, 83[shall,
after giving the assessee an opportunity of being heard, make the assessment84] of the total income or loss to the
best of his judgment and determine the sum payable by the assessee 85[* * *] on the basis of such assessment
:
86[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.]
87[(2) The provisions of this
section as they stood immediately before their amendment by the Direct Tax Laws
(Amendment) Act, 1987 (4 of 1988), shall apply to and in relation to any
assessment for the assessment year commencing on the 1st day of April, 1988, or
any earlier assessment year and references in this section to the other
provisions of this Act shall be construed as references to those provisions as
for the time being in force and applicable to the relevant assessment year.]
