(1) If the assessing authority is satisfied that a return furnished under section 7 is correct and complete he shall, by an order in writing, make assessment and determine the tax payable by the assessee on the basis of such return.
(2) ' If the assessihg authority is not satisfied that return furnished under section. 7 is correct and complete. he shall serve on the person concerned a notice requiringT him. on the date, andat the hour and place to be specified therein, eiiher to attend inperson or to produce or cause to be produced evidence in support
(3) On the days specified in the notice under sub—section (2)01”as soon afterward as may be, the assessing authority. after-hearingsuch evidence as may be produced and such other evidence as hemay require, shall, by an order in writing, assess the income and.determine the tax payable by him.
(4) If any person fails to make a return as required bysection7 or havingr made the return fails to comply with the termsof the notice under sub—section (2), the assessing authority shall,by an order in writing. assess, to the best of his judgement, theincome and determine the tax payable by him:
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Provided that before making assessments, the assessing .avauthority may allow the person such further time as he thinks tit «5:0 make the return or comply with the terms of the notice issued ’ under sub-section (2).
. 9i ' If for any reason, the income of any person has not been l.gassessed or has been under assessed for any financial year, the “assessing authority may, notwithstanding anything contained in :;_£ub-section‘*(2) of section 7, at any time within three years of the fend of that year, serve on the person liable to pay the tax, a {amatice containing all or any of the re uirements which may be T&nciuded im a notice under sub—section?2) of section 7 and may {proceed to assess or reassess his income and the provisions of this " Act shall, so far as may be, apply accordingly as if the notice were ’ a notice issued under that sub—section:
Provided that the tax shall be charged at the rate at which it would have been charged if the person would not have escaped assessment or full assessment, as the case may be. .
V 10. (1 ) The authority which made an assessment or passed an order on appeal or revision in respect thereof, may of his own mozion, and shall if an application is filed in this behalf, within three years from the date of such assessment or order. rectify any mistake apparent from the record of the case:
Provided that no such rectificatibn having adverse effect upon an assessee shall be made unless the assessee has been given a reasonable opportunity of being heard.
2) Where any such rectification has the effect of reducing the assessment, the assessing authority shall order any refund which may be due to such person.
(3) Where any such rectification has the effect of enhancing the assessment or reducing the refund, the assessing authority shall serve on the person a notice of demand in the prescribed form specifying the sum payable, and such notice of demand shall be deemed to be issued under section 18 and provisions of this Act shall apply accordingly. -