²[(1) The Deputy Commissioner of Taxes may assess the income-tax payable under this section in accordance with relevant return, documents or any other provisions of this Act in the following cases, namely:–

(a) where a return or revised return filed by a person is considered to be a normal return; or

(b) where a person is assessable to tax under sub-section (12) of section 182; or

(c) where a person is assessable to tax under section 212 or 213; or

(d) where a person is liable to pay income-tax under any provision of this Act. ]

(2) Where Deputy Commissioner of Taxes is satisfied that the presence of the assessee or the production of any evidence for the purpose of assessing the tax of the assessee or calculating the tax liability thereof is not necessary, the Deputy Commissioner of Taxes shall, on the basis of the return or revised return, subject to the following conditions, shall assess the tax of the said assessee,
namely:—

(a) such return shall be filed on or before the date specified in section 171;

(b) the amount of tax payable shall be paid on or before the date on which the return is filed;

(c) such return does not show any loss or lesser income than the last assessed income;

(d) assessment on the basis of such return does not result in refund; and

(e) if the Taxpayer’s Identification Number is mentioned in the said return.

(3) Where the Deputy Commissioner of Taxes deems it necessary for the assessment of the tax of an assesseeto require the presence of the assessee or production of any evidence, the Deputy Commissioner of Taxes shall issue notice to such person to the effect that—

(a) he shall appear before the Deputy Commissioner of Taxes, in person or by an authorized representative, on the date and time so specified in the notice; or

(b) necessary evidence shall be filed in support of the return mentioned in the notice.

(4) Where the assessee complies with the notice given under sub-section (3), the Deputy Commissioner of Taxes shall initiate the assessment process.

(5) The Deputy Commissioner of Taxes may require further hearing or necessary evidence during the assessment proceedings of the assessee and in such case the notice shall specify the matters to be heard and the consequences arising out of failure to comply.

(6) The Deputy Commissioner of Taxes shall not disallow any expenditure shown by the assessee without an opportunity of being heard.

(7) The Deputy Commissioner of Taxes shall, after considering the evidence presented at the end of the hearing, issue a tax assessment order in writing or by specified electronic method and notify the assessee of the said order within 30 (thirty) days of issuing the said order.

(8) If the assessee fails to comply with the notice given under sub-section (3) or (5), the Deputy Commissioner of Taxes may determine the tax payable as per best judgement assessment under section 184.