Diffrence between Previous year & Assessment years

Assessment Year [Sec. - 2 (9)]


Meaning and Definition 

Assessment year refers to a year in which financial year is assessed. Assessment year  is the evaluation year of the financial year.

Or
 Assessment year is the tax calculation year.

Explanation
If a person "A" earned income in financial year 2016-17, then he will pay income tax in assessment year 2017-18.

Definition:-

Assessment year may be defined as a year in which the income of the previous year is to be assessed.


Previous year [Sec. -3]


Meaning and Definition

Previous year refers to the year in which income is generated. The income of the previous year is taxed in the immediately following assessment year.

Definition:-

Previous Year means financial year, which is immediately preceding  the assessment years.  

Introduction to Income tax Act 1964
Sr. No. Subjects Name 
Links
1
Previous years & assessment years
2
Assessee
3
Persons
4
Concept of HUF
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