Income Tax
Return of Income

Best Judgement Assessment (Section 144)

Last updated at Dec. 13, 2024 by

If Assessee failes to co-operate with Assessing Officer, then AO is left with no option but to do  assessment as per his best judgement. This is called Best judgement Assessment

It is done by A.O. in following cases

  1. Assessee fails to file return [u/s 139]
  2. Notice has been Served on Assesse to file ITR u/s 142 but he fails to do .
  3. Fails to comply with notice u/s 143 (2) Scrutiny Notice .
  4. AO has asked for Compulsory Audit of Accounts but he fails to do so .

In all these cases A.O. makes Assessment to the best of his judgement and determines tax payable, if any, by Assessee.

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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 14 years. He also provides Accounts Tax GST Training in Delhi, Kerala and online.