The Ministry of Finance vide its notification dated 29th March 2022 has published the e-Assessment of Income Escaping Assessment Scheme, 2022. As per the scheme assessment, reassessment or recomputation and issuance of notice shall be through automated allocation.
Automated allocation means an algorithm for randomised allocation of cases, by using suitable technological tools, including artificial intelligence and machine learning, with a view to optimise the use of resources.
As per section 147 of the income tax act, If the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of section 148 to 153, assess or reassess such income and also any other income chargeable to tax which has escaped assessment and which comes to his notice subsequently in the course of the proceedings under this section, or recompute the loss or the depreciation allowance or any other allowance, as the case may be, for the assessment year.
Under this scheme, assessment, reassessment or recomputation under section 147 of the Act and issuance of notice under section 148 of the Act, shall be through automated allocation, in accordance with risk management strategy formulated by the Board.
