NRI notice 143(2)

Notices & Assessments 697 views 3 replies

Aos

27 Points Posted on 03 August 2017

Hi guys,
Looking for some advice here. I have encountered a situation whereby I'm stuck and cannot find any answers online. Firstly, I am a non residential Indian and have been so for the past 20 odd years. I have been filing my taxes as mandated by the authorities. I have just received a notice 143(2) and have been asked to meet the AO. I will have a representative go and meet the AO. I have two questions regarding this scenario :

Number 1: being a non resident, I am not taxed on my foreign income (all of which I transfer to financial institutions in india), from what I have understood I have no tax liability due to my residential status. Any idea why my file might have been picked up by CASS?

Number 2: Will the inquiry be limited to the financial year in question or can the AO decide to open up all the information from previous financial years? It's very vague in their requests, so just want to make sure all the required documents are in place to avoid any further delays.

Would really appreciate all your input and help.

Thanks in advance.

Replies (3)

Guest

Anyone who has received a notice under Section 143(2). The Income Tax Department issues this notice when it wants to make sure: You have not under-reported your income You have not claimed too much loss You have not underpaid tax Usually, you are asked to provide evidence or basis to support your return. We will help you understand what the notice asks for, what evidence you should furnish and how to make sure the notice is properly addressed.

Aos

27 Points Posted on 03 August 2017

Hi Samir,

Really appreciate the response. I have not under reported my income and neither have I claimed any losses or tax deductions. So the only basis of my returns are would be letter from employer stating how much I made last year and corresponding bank statements right?

Poltu Ghosh

Job

1865 Points Posted on 03 August 2017

With respect your questions in the first queries are - 1. You have the right to know the reasons for selecting your case for scrutiny. Ask your AO officially to provide the reasons. You or your representative in your behalf can ask for the same. Also check whether the notice specifies type of scrutiny for your case. Is it LIMITED SCRUTINY or COMPLETE SCRUTINY case. The notice so received by you will specify this. If it's a limited scrutiny case the notice will itself mention the reasons.

2. AO has the power to call for last two previous years preceding the previous year for which the scrutiny is in progress. So if the AY 2016-17 is in progress he can ask for books and other documents for FYs 2015-16, 2014-15 and 2013-14