What is a reassessment proceeding under Income Tax law?

A reassessment proceeding is a process where the Income Tax Department can reopen a taxpayer’s assessment and re-compute their total income and tax liability, even after the completion of the original assessment. This can happen if the Assessing Officer has reason to believe that the taxpayer’s income has escaped assessment or has been underassessed. The provisions related to reassessment are covered under Sections 147 to 153 of the Income Tax Act, 1961.