INCOME TAX

INSTRUCTION NO. 1984/2000

 Dated: June 9, 2000

Sub: Guidelines for selection of cases for assessment under section 143(3) of the Income tax and transfer of cases during Financial year 2000-2001- regarding.

Having regard to the emphasis given to the Action Plan items for the fiscal year 2000-2001, it has been decided that selection of cases for scrutiny will not be done over a wide range of cases. The selection for scrutiny will be limited to the following types of cases:-

a) search and seizure assessments;
b) assessments following a survey under section under Section 147;
c) set aside assessments;
d) cases where assessment under Section 143(3) becomes mandatory in order to comply with the directions of the Supreme Court/High court/Special Courts;
e) All cases in Central Circles not specifically covered in the above items.

Apart from the above compulsory scrutiny cases, the Chief Commissioner of Income Tax will be at liberty to authorize any case for being taken up for scrutiny. In such cases, reasons are to be recorded in writing by the Chief Commissioner. Such cases also be only exceptional in nature.

BAN ON TRANSFER OF JURISDICTION

2. The ban on transfer of jurisdiction from one assessing officer to another ordered earlier will continue to remain in force till 1st April 2001. However, the said ban will not be applicable in respect of search and seizure cases requiring centralization under(CIT) Central or with one particular assessing officer in non-Central charges. The said ban will also not be applicable in cases where decentralization involving the transfers out of the Central charges to non-Central charges is effected.

A copy of the transfer orders passed in such cases should invariably be sent to the computer center for up-dating.

(Kamlesh C. Varshney)
Under Secretary to the Govt. of India