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14A. Conditions for and procedure of re-opening a deemed assessment case

(1) Where assessment of a registered employer in respect of any year or part thereof is deemed to have been made under sub-section (6) of section 7 and where, on enquiry or on receiving information otherwise, it appears to the prescribed authority that it is necessary to proceed to make, assessment of tax or to impose penalty under sub-section (6B) of that section, the prescribed authority shall, after recording in writing the reasons for doing so, serve a. notice in Form VIIA upon such registered employer -

(a) calling upon him to produce his books of accounts and other documents which the prescribed authority wishes to examine together with any objection which he may wish to prefer and any evidence which he may wish to produce in support thereof and

(b) stating the year or the part of the year in respect of which assessment of tax, or imposition of penalty, as the case may be, is proposed, and the prescribed authority shall fix a date, ordinarily not less than fifteen days after the date of service of the notice, for producing such accounts and documents and for considering any objection which the registered employer may prefer.

(2)After considering the books of accounts and documents produced, and any objection preferred by the registered employer, the prescribed authority shall, under sub-section (6B) of section 7, assess the amount of tax, and impose penalty, if any, by an order in writing. 

(3)If any sum is due from the registered employer under sub-rule (2), the prescribed authority shall serve upon him a notice in Form VIIIA directing him to make payment of tax and penalty due from him within thirty days from the date of service of the notice and to produce the receipted challan in proof of such payment within ten days from the date of such payment.

(4)Where an assessment in respect of any year or part thereof of a registered employer is deemed to have been made under sub-section (6) of section 7 and where such employer makes an application under subsection (8) of that section on or before the date specified therein, to the prescribed authority in respect of such employer for fresh assessment under sub-section (2) of that section, the prescribed authority shall issue a notice specifying a date (hereinafter referred to as the said date), ordinarily not less than fifteen days immediately after the date of service of such notice, requiring him to produce such documents and evidence as may be deemed necessary on the said date to establish his contention that he has paid an amount of tax in excess of what was payable by him under the Act in respect of such year or part thereof. 

(5)After considering the documents and evidence produced in pursuance of the notice referred to in sub-rule (4), the prescribed authority in respect of such employer shall record the findings and if it is found that – 

(a)the contention of such employer is acceptable, the prescribed authority shall reopen the assessment deemed to have been made under sub-section (6) of section 7 and shall proceed to make assessment under sub-section (2) of that section, or 

(b)the contention of such employer is not correct, the prescribed authority shall reject the application and inform such employer accordingly.