Faceless assessment under Section 144B

Faceless assessment under Section 144B conducts income-tax assessments electronically, without a physical interface, through the National Faceless Assessment Centre (NaFAC) and specialised units. Cases are allocated randomly, notices and responses flow through the portal, and a show-cause and draft order precede any addition.

How the faceless system works

The NaFAC is the single point of contact with the taxpayer. Work is distributed among assessment units (which frame the assessment), verification units, technical units and review units, with cases allocated by an automated system. The taxpayer does not know or meet the officer, which is designed to reduce discretion and improve consistency.

The procedure step by step

1. Case selected; notice under 143(2) issued through NaFAC.
2. Taxpayer responds electronically; further information sought via 142(1).
3. A show-cause notice and a draft assessment order are issued where a variation prejudicial to the taxpayer is proposed.
4. The taxpayer files objections; a personal hearing via video conference can be requested.
5. The final order is passed by NaFAC.

Your rights in the process

• Right to a show-cause notice before any adverse variation.
• Right to request a video-conference hearing.
• Right to reasonable time and to seek adjournment.
• An order passed without the mandatory draft-order/SCN step can be challenged as violating natural justice.

Practical tips

Monitor the portal regularly, as timelines are short and communication is electronic. Keep responses structured, reconcile to 26AS/AIS, and always request a personal hearing where a variation is proposed. Certain proceedings (such as search cases or where personal hearing is essential) may fall outside the faceless scheme.