Time limit for notices under sections 280 and 281
[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]
Section 282(1) of Income Tax Act 2025
282(1) No notice under section 280 shall be issued for the relevant tax year,—
- (a)if four years and three months have elapsed from the end of the relevant tax year, unless the case falls under clause (b);
- (b) if four years and three months, but not more than six years and three months, have elapsed from the end of the relevant tax year, unless the Assessing Officer has books of account or other documents or evidence related to any asset or expenditure or transaction or entry which shows that the income chargeable to tax, which has escaped assessment, amounts to or is likely to amount to fifty lakh rupees or more.
Section 282(2) of Income Tax Act 2025
282(2) No notice to show cause under section 281 shall be issued for the relevant tax year,—
- (a) if four years have elapsed from the end of the relevant tax year, unless the case falls under clause (b);
- (b) if four years, but not more than six years, have elapsed from the end of the relevant tax year, unless the income chargeable to tax which has escaped assessment, as per the information with the Assessing Officer, amounts to or is likely to amount to fifty lakh rupees or more.
Section 282(3) of Income Tax Act 2025
282(3) No notice under section 280 or 281 shall be issued within one year from the end of any tax year.
FAQs on Section 282 of Income Tax Act 2025
What is the general time limit for issuing a notice under section 280?
A notice under section 280 cannot be issued if four years and three months have passed from the end of the relevant tax year, unless it qualifies under the extended time limit provisions.
When can a notice under section 280 be issued after four years and three months?
It can be issued up to six years and three months from the end of the relevant tax year if the Assessing Officer possesses documents or evidence showing income escaping assessment of ₹50 lakh or more.
What is the general time limit for issuing a notice under section 281?
A notice under section 281 cannot be issued if four years have passed from the end of the relevant tax year, unless it qualifies under the extended time limit provisions.
When can a notice under section 281 be issued after four years?
It can be issued up to six years from the end of the relevant tax year if the Assessing Officer has information indicating income escaping assessment of ₹50 lakh or more.
Is there any restriction on issuing notices too early under sections 280 and 281?
Yes, no notice under either section 280 or 281 can be issued within one year from the end of the relevant tax year.
What is the monetary threshold for invoking extended time limits under both sections?
The monetary threshold is ₹50 lakh or more of income escaping assessment, based on evidence or information available with the Assessing Officer.
Does the time limit differ between section 280 and 281?
Yes. Section 280 allows notices up to six years and three months in certain cases, while section 281 permits them only up to six years.
Can a notice under section 280 or 281 be issued exactly one year after the end of the relevant tax year?
Yes, notices can be issued starting from one year after the end of the relevant tax year.
Why is there a one-year no-issue period after the tax year ends?
This restriction ensures that the assessment machinery does not initiate proceedings prematurely, allowing time for initial compliance and data collation.
Are the extended time limits automatic under section 282?
No, they apply only if the conditions regarding quantum of escaped income and supporting evidence or information are satisfied.
