It is the term which is defined in the Section 2 (7) of the Income Tax Act, 1961.
Assessee means a person by whom any tax or any other sum of money is payable to the income tax authorities under the Income Tax Act 1961 and includes:
• Every person in respect of whom any proceedings under the Income Tax Act 1961 have been taken for the assessment of the income.
• Every person who is deemed to be an Assessee under any provision of Income Tax Act.
• Every Person who is deemed to be an Assessee-in-default under any provisions of the Act.
• A person against whom any proceeding under this Act is going on.
• Any person who has sustained the loss and filed the return of the loss under section of 139(3) of Income Tax Act.
• A person by whom some amount of interest, tax or penalty is payable under the Act.
• Any person who is entitled to get refund of tax.
REPRESENTATIVE/ DEEMED ASSESSEE
A person is called Deemed Assessee when he is deemed to be an assessee for some other person. In other words, the persons responsible for the assessment of income of other persons are called representative assesses or deemed to be assesses.
• After the death of the person, the legal heirs of the deceased person are Deemed Assessees.
• Guardian of minor or lunatic is also a Representative or Deemed Assessees.
• A person who is non-resident of India but having income in India then any person acting on his behalf is known as Deemed or Representative Assessee.
Any person can be Assessee-in-default when he fails to fulfill any kind of statutory obligation of this Act. The failure of not doing the work which is required by the person to perform under the Act makes him assessee-in-default.
An employer is required to deduct the TDS (Tax Deducted at Source) from the salary of the employee. However if he fails to deduct TDS from the salary of the employee, he shall be treated as Asseesee-in-default.
To conclude, assessees include:
• Persons who are liable to pay any amount of taxes under any of the provisions of this Act.
• Any person who is liable to pay taxes under any of the provisions of the Income Tax Act on behalf of any other person.
• A person who is liable to pay any sum of money other than tax like any penalty or fine etc.
• Any person who is liable to be assessed for any fringe benefits tax.