Who is the assessee? Definition of section2(7)

Assessee is free to extend credit facility to any concern; AO cannot compel  them for conducting the Business: ITAT Ahmedabad [Read Order] | Taxscan

Hello guys

This is Ravi Verma, in this article I will tell you about the assessee.

let’s start

  • Who is the assessee?

Section 2(7) of the Income Tax Act 1961 states that the person who is counted under this act is called an assessee.

In other words, eighty is the person who has to pay tax to the government.

Assessee is divided into three categories in the Income Tax Act.

Type of assessee
  1. If the process of tax computation is going on against any person within the Income Tax Department, we will count such person in the assessment because if that person has made any profit or loss and has been issued a notice by the Income Tax Department, then such person is called assessee.
  2. If there is a person who comes from outside and earns profit in India and goes back to his country without paying tax, then we call such person an assessee under Income Tax Act.
  3. If there is a person who has been given the category of the assessee in default under the Income Tax Act, then we call such a person an assessee.

Any person who is liable to pay interest, penalty, or tax in any manner under the Income Tax Act is called an assessee.