Provisional assessment for refund. - Income Tax - 438/CBDT

INSTRUCTION NO. 438/CBDT Dated: July 14, 1972 Section(s) Referred: 141A Statute: Income - Tax Act, 1961 Reference is invited to Instruction No. 277 dated 17-3-1971 issued from F. No. 236/243/70-IT (Audit). 2. As per Proviso added to Sec. 141A by the Taxation Laws Act 1970, with effect from 1-4-1971 the I.T. Officers are obliged to make a provisional assessment u/s 141A, if the regular assessment is not finalised within six months, and to allow refund of excess tax paid, if any. Although no time limit has been prescribed for making a provisional assessment after the expiry of the specified period of six months, the Board would like to impress upon the officers the imperative need to make such provisional assessments as soon as possible after the expiry of the specified period of six months. The Board are of the view that if provisional assessments are promptly made and the excess amount refunded, this will go a long way in improving the image of the Department in the eyes of the tax paying public.