Section 3, 4 & 5 of Income Tax Act-1961

Section 3:- Previous year defined.

For the purposes of this Act, "previous year" means the financial year immediately preceding the Assessment year.

It means if a business is started in F.Y.13-14 & as per the Act the assessee filed a Income Tax Return for the F.Y.13-14 in the A.Y.14-15.It means a period which is the source of income comes into existence and ending with the said financial year ie.here13-14 is a previous year of the A.Y.14-15.

Section 4:- Charge of income-tax.

Where any Central Act enacts that income-tax shall be charged for any assessment year at any rate or rates, for the total income of the previous year of every person.

Section 5:-Scope of total income

 The total income of any previous year of a person who is a resident includes all income from whatever source derived which is received or is deemed to be received in India

The total income of a person who is a resident of India the income which has been included in the total income of a person on the basis that it has accrued or arisen or is deemed to have accrued or arisen to him shall not again be so included on the basis that it is received or deemed to be received by him in India.