Income Tax

CBDT CASS Instruction 3-2016. Reasons for Limited Scrutiny, email assessment, online passing of assessment orders etc.

CBDT  has recently issued Computer Aided Scrutiny Selection (CASS) Instruction No. 3 dated 16/09/2016. regarding Income Tax Business Application (ITBA)-Assessment Module-CASS Cycle-3.

The main highlights of the CBDT CASS instructions No. 3 are as under:

Limited and Complete Scrutiny
As per the Instruction, this year in CASS, two types of cases are selected for scrutiny , one is  ‘Limited Scrutiny’ and other is ‘Complete Scrutiny’. The type of case-‘Limited or ‘Complete’ – is displayed on the notice issued u/s 143(2), ‘Scrutiny Register’ ‘MIS Report’ and  on the screen of Income Tax Business Application (ITBA) showing details of the case.

Limited Scrutiny  notices contain reasons identified for examination
This year, ‘Limited Scrutiny ‘ notices contain the issue(s) identified for examination. The description of reasons visible to the Assessing Officer (AO) is different from description of issues printed on the notices. Reason for selection visible to the AO contains detailed description related to the case.

Assessment through email based communication
This year the template of notice u/s. 143(2) includes a brief note regarding benefits of the scheme and procedure of assessment through email based communication . The same has to be printed on other side of the notice. It is notable that email based assessment has been introduced in 7 cities of Ahmedabad, Bengaluru, Chennai, Hyderabad, Kolkata and Mumbai.

Returns received by non jurisdictional Assessing Officer
The notice u/s 143(2) can only be generated by PAN-Assessing Officer under CASS. At the time of CASS run, the data of returns selected in CASS, which are falling in category of mismatch of PAN AO Code will be auto-transferred to PAN Assess1ng Officer.

Online passing of all scrutiny assessments orders mandatory
The online CASS feedback after the completion of assessment has been made mandatory in AST/ITBA.

New functionality for “Deemed Dividend”
This function is activated for providing information related to deemed dividend for the cases selected under reason “Receipt of Loan/Advance by a substantial share holder u/s 2(22)(e) (Deemed div1dend) (Form 3CD of Lender).

Share

Recent Posts

  • bankruptcy

SC express concern over AI generated judgments/paragraphs escaping scrutiny by NCLT/NCLAT

Supreme Court expresses serious concerns over AI generated judgments/paragraphs relied upon by the NCLT/NCLAT In a recent judgment, the Hon'ble…

9 hours ago
  • ICAI

ICAI to take disciplinary action for quoting very low & incommensurate fee by Chartered Accountants

ICAI to take disciplinary action for quoting very low and incommensurate fee by Chartered Accountants As per the announcement made…

10 hours ago
  • Income Tax

NSDL latest e-TDS TCS RPU Version 6.00 and FVU 9.5 RPU V 1.0 from Tax Year 2026-27 – Download

NSDL latest e-TDS TCS RPU Version 6.0 from FY 2007-08 NSDL has revised the e-TDS TCS RPU utility for preparing…

14 hours ago
  • Income Tax

Requirement for filing Form 67 for claiming FTC only directory not mandatory – ITAT

Requirement for filing Form 67 for claiming Foreign Tax Credit (FTC) is only directory and not mandatory - ITAT In…

22 hours ago
  • Income Tax

Limitation to invoke power u/s 263 for issues not covered in re-assessment start from original assessment – ITAT

Limitation for invoking revisional jurisdiction u/s 263 with respect to issues not covered in re-assessment would start from the original…

1 day ago
  • Income Tax

AO not justified in rejecting registered valuer’s report without reference to DVO – ITAT

AO not justified in rejecting registered valuer’s report without making a reference to the DVO - ITAT In a recent…

1 week ago