ITR processing now to adjust income indicated in audit report but not ITR

ITR processing now to adjust income indicated in audit report but not ITR The existing provisions of clause (a) of sub-section (1) of section 143 of the Act provide that at the time of processing of return of income made under section 139, or in response to a notice under sub-section (1) of section 142, the total income or loss shall be computed after making the adjustments specified in clauses (i) to (vi) therein. It is proposed to amend the following provisions of sub-section (1) of section 143 of the Act,-

(i) Amend sub-clause (iv) of clause (a) of sub-section (1) of section 143 of the Act, to allow for the adjustment on account of increase in income indicated in the audit report but not taken into account in computing the total income.

(ii) Amend sub-clause (v) of clause (a) of sub-section (1) of section 143 of the Act so as to give consequential effect to amendment carried out in section 80 AC vide Finance Act, 2018.

(iii) Amend the provisions of section 143 to reduce the time limit for sending intimation under sub-section (1) of section 143 of the Act from one year to nine months from the end of the financial year in which the return was furnished.

Consequently, it is also proposed to reduce the time limit for issue of notice under sub-section (2) of section 143 of the Act from six months to three months from the end of the financial year in which the return is furnished.