If the Gift- tax Officer is satisfied without requiring the presence of the assessee or the production by him of any evidence that a return made under section 13 or section 14 2[ is correct and complete], he shall assess the value of the taxable gifts made by the assessee 3[ and determine the amount of gift- tax payable by him or the amount refundable to him on the basis of such return].
If the Gift- tax Officer is not so satisfied, he shall serve a notice on the assessee either to attend in person at his office on a date to be specified in the notice or to produce or cause to be produced on that date any evidence on which the assessee may rely in support of his return.
The Gift- tax Officer, after hearing such evidence as the person may produce and such other evidence as he may require on any specified points 4[ and after taking into account all relevant material which the Gift- tax Officer has gathered] shall, by order in writing,
assess the value of taxable gifts made by the assessee and determine the amount payable by him as gift- tax.
For the purpose of making an assessment under this Act, the Gift- tax Officer may serve on any person who has made a return under sub- section (1) of section 13 or section 14, or upon whom a notice has been served under sub- section (2) of section 13, a notice requiring him to produce or cause to be produced on a date specified in the notice such accounts, records or other documents as the Gift- tax Officer may require.
If any person fails to make a return in response to any notice under sub- section (2) of section 13 or fails to comply with the terms of any notice issued under sub- section (2) or sub- section (4), the Gift- tax Officer 1[ after taking into account all relevant material which he has gathered] shall estimate the value of taxable gifts to the best of his judgment and determine the amount payable by the person as gift- tax.
3[ Notwithstanding anything contained in section 6, for the purpose of making an assessment under this Act, the Gift- tax Officer may refer to a Valuation Officer the valuation of any property transferred by way of gift-
in a case where, the value of the property as returned is in accordance with the estimate made by a registered valuer, if the Gift- tax Officer is of opinion, that the value so returned is less than its fair market value;
in any other case, if the Gift- tax Officer is of opinion-
that the fair market value of the property exceeds the value of the property as returned by more than such percentage of the value. Of the property as returned or by more than such amount as may be prescribed in this behalf; or
that having regard to the nature of the property and other relevant circumstances, it is necessary so to do; and where any such references is made the provisions of sub- sections (2), (3), (4), (5) and (6) of section 16A clauses (ha) and (i) of sub- section (1) and sub- sections (3A) and (4) of section 23, sub- section (5) of section 24 section 34AA, section 35 and section 37 of the Wealth- tax Act, 1957 , shall' with the necessary modifications, apply in relation to such reference as they apply in relation to a reference made by the Wealth- tax Officer under sub- section (1) of section 16A of that Act. Explanation- In this sub- section," Valuation Officer" has the same meaning as. in clause (r) of section 2 of' the Wealth- tax Act, 1957 ]