Hi,
My query is as under:
Assume If Mr A files Income tax returns and get Income Tax Notice for Scrutiny of his returns.
Then will/can the assessing officer also check/Scrutinize returs of Mr A's Family Members who stay with Mr A in same house.
(Please Assume that there as no Interconnected Financial transactions in Books or Bank, between Mr A and his family Members.)
Please reply.
He does it to cross examine the records at their end. But even in that case, scrutiny notice will be sent to each member individually
AO cannot assess the income of related family members of assessee while doing assessment.
He can ask you about the income of you and your relatives, but he cannot assess the income of your relatives.
If he have any doubts regarding the income of your family members, he will have to issue fresh notice as per the Income tax Act, if the time limits are available and as per the full procedure in case of a fresh scrutiny.
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