INSUBCONTINENT EXCLUSIVE:
MUMBAI: A significant number of non-resident Indians (NRIs), including those in the UAE, have received notices under sections 148/148A from
the income tax (I-T) department for reassessment
Details are being sought of high-value transactions like purchase of immovable property, investment in securities or deposits or even for
outward remittances from India.To their surprise, details relating to their foreign currency non-resident (FCNR) accounts in India have also
notices as fishing inquiries without establishing how income has escaped tax
They must understand that treating FCNR interest as exempt in India without first correctly determining the residential status for each year
assessment, check whether the material relied upon by the I-T officer is attached
Then check if the notice is within the limitation period of 3years from the end of the assessment year
If the proposed addition is more than Rs 50 lakh, check if it falls within limitation period of 10 years from the end of the relevant
Also, check if sanction has been taken from higher authorities for such a notice
