Annual Information Return

Mr. Deep

As per the provisions of section 285BA of Income Tax Act, certain persons have to report certain transations to the Income Tax Authorities.  The details can be found in Rule 114E of Income Tax Rules 1962.  I am herewith attaching a word document containng Rule 114E.

Best Wishes

Sathikonda

Mr.Deep

The Income-tax Department will utilize the information collected through AIR (Annual Information Return) to select any invdividual case for scruitiny and also issue notice u/s 148 of the Income-tax act, 1961 to reopen completed assessments if there is any escapement of income.  Recently the Central Borad of Direct Taxes in Instruction No.1/2009 dated 12-02-2009 (F.No.142-08-2009-TPL)  has issued guide lines to the Chief Commissioners, Director General of income-tax (Systems), All Directors of Income-tax (CIB), All Commissioners of Income-tax (Computer Operation) and All Commissioners of Income-tax (in-charge of computer centres) how to utilise the said information for selecting an individual case for scruity and to reopen the completed assessment by issueing notice u/s 148.

Best Wishes

Sathikonda