Income Tax Assessment Types

Income Tax Assessment Types – Various methods by which the Income Tax Department evaluates a taxpayer’s return and determines tax liability: Self-Assessment: Taxpayer computes and pays tax before filing return. Regular Assessment: AO reviews the return and computes tax based on submitted details. Best Judgment Assessment: AO estimates tax when returns are not filed or incomplete. Scrutiny Assessment: Detailed examination of returns under Section 143(2). Reassessment: Under Section 147, AO reassesses income escaping assessment. Example: The Assessing Officer conducts a scrutiny assessment under Section 143(2) to examine discrepancies in a filed return.