Income Tax Notice

1. What is an Income tax notice?

After an Individual / Assesses (also known as tax payer) file their Income tax return, it is processed by the Income tax Department. If there is any mistake / error / discrepancy noticed in the Income tax return filed, then the same is intimated to the Assesses by the means of an income tax notice. There are various types of Income tax notices, issued by the Income Tax Department, which you can read in the question below.

2. What are the types of Income tax notices?

The Income tax department issues notices for various purposes under Income Tax Act, 1961. These are listed below:

  1. Income Tax Intimation under section 143(1) – It is an intimation sent by the Income tax department after the return is filed by the taxpayer and processed by CPC.
  2. Income Tax Notice under section 143(1)(a) – It is issued for seeking response if there are certain errors / inconsistencies in the Income tax return filed.
  3. Income Tax Notice under section 139(9) – This Income Tax Notice is issued if the Income tax return filed is defective. For example, Income tax return is filed before payment of self assessment tax.
  4. Rectification under section 154 – If the taxpayer has filed his Income tax return and there is some mistake, such as, TDS credit is not given, then rectification under section 154 is required to be filed.
  5. Income Tax Notice under section 245 – This Income Tax Notice is issued to communicate the adjustment of Income tax refund against Income tax demand.
  6. Income Tax Notice under section 142(1) – This Income Tax Notice is issued to seek certain documents and details from the taxpayer.
  7. Income Tax Notice under section 148 – This Income Tax Notice is issued when the Assessing Officer has a valid reason to believe that income of the taxpayer has escaped assessment.
  8. Income Tax Notice under section 156 – This Income Tax Notice is issued for payment of demand after Income tax assessment is completed and order is passed.
  9. Income Tax Notice under section 143(2) – If Income Tax Notice under section 143(2) is issued, it means that the Income tax return has been selected for scrutiny by the Assessing Officer.

3. Why is an Income Tax Notice issued?

An Income Tax Notice may be issued because of following reasons:

  1. Income tax return not filed.
  2. Mistakes / Discrepancies in the Income tax return filed by you.
  3. Mismatch in TDS figures in the Income tax return filed by you and what is available in Form 26AS records of Income tax department.
  4. Any financial transaction done by Assesses which is in the knowledge of Income Tax Department but is missing in the Income tax return filed by the assessee.
  5. Assessing Officer wants certain documents and details from the taxpayer. For this purpose, he issues a Income tax Notice asking for such documents and details.
  6. To carry out scrutiny under section 143(1) of Income Tax Act.
  7. For any other purpose which the Assessing Officer thinks fit.

4. How do I check if there is any Income Tax Notice issued to me or what is the status of the Income Tax Notice issued?

You can find this by logging into your account on government portal and follow below steps:

  1. From the top menu, select WORKLIST
  2. Select For Your Action.

5. Can I receive more than one Income Tax Notice for an Assessment Year?

Yes, you can receive more than one Income Tax Notice for the same Assessment year. For example, you had received Income tax intimation 143(1) having demand and you had filed rectification for the same. However if this gets rejected, you get a second Income tax Notice / order u/s 154 for which further clarification needs to be submitted to the Income tax department.

6. What could happen if I ignore an Income tax notice?

We suggest not to ignore any Income tax notice. Ignoring any Income Tax Notice may result in penalty and prosecution under the Income Tax Act, 1961.

7. What are the chances that I will receive an Income tax notice?

Income Tax Department issues notices to less than 1% of the total taxpayers. You will receive an Income Tax Notice if:

  1. you are required to file your Income tax return and have not filed the same
  2. there is some mistake / error in the return filed by you
  3. wrong credit of TDS is taken
  4. any documents or details are required by the Assessing Officer
  5. any other situation which the Assessing Officer may deem fit

8. How much time is normally taken to resolve the Income Tax Notice received by me?

There is no specific timeline defined by the Income tax department for resolution of any Income Tax Notice issued. It would entirely depend on various factors such as processing time of Income tax department, response time by the assessee, etc.

9. I am outside India currently, how to approach Income Tax Department in this case?

Nowadays, filing rectification of an Income tax return, submitting response to an Income Tax Notice has become online and you can do so from anywhere in the world. In case you are required to be present at an Income tax office and you are unable to do so, you can nominate someone as your representative in India and ask the person to be present before the assessing officer along with all your relevant documents.

10. What is Income tax ‘Notice Assistance Service’?

Income tax ‘Notice Assistance Service’ is a premium service offered by, where our Tax Experts go through your Income tax Notice and related documents to resolve the queries in the Notice. Our tax experts will resolve queries in the notices by clearing the defects in the Income tax return, rectification of your return or any other issue as mentioned in the Income tax notice. You just need to provide certain information and documents asked by the tax experts and they will resolve the issue on your behalf.

11. How do I avail Income tax ‘Notice Assistance Service’?

Please follow the below mentioned steps to upload your Income tax on myITreturn portal:

  1. Visit Income Tax Notice Assistance Page and login or If you are already logged in, from the home page, select the Income tax ‘Notice Assistance Service’.
  2. Select or add a member to continue.
  3. You will be on Income tax ‘Notice Assistance Service’ Page dashboard, click on “Upload Notice” to begin.
  4. Browse the soft copy of your Income Tax Notice in PDF format and mention the password, if any.
  5. Write your comments/remarks/doubts regarding the Income Tax Notice received.
  6. Click on “Upload” button to submit your Income Tax Notice to myITreturn Tax Experts Your Income Tax Notice will be reviewed by our Tax Experts very soon and they shall help resolve the queries/issues as required. Please Note :
  7. A unique Case ID (for future reference) will be provided once your Income Tax Notice is uploaded.
  8. Income tax ‘Notice Assistance Service’ is a premium service and charges may vary depending on complexity of the Notice.

12. What are the steps involved in Income Tax Notice Assistance?

Our process flow for Income tax ‘Notice Assistance Service’ involves very few and simple steps.

  1. Upload your Income Tax Notice and write your comments/ remarks/ doubts regarding the notice.
  2. Pay one time fee of Income tax ‘Notice Assistance Service’ (starts from Rs. 1,000/- only).
  3. Our tax experts shall review your case and interact with you whenever needed. They shall plan out the final steps to reply to the Income tax Notice received (or resolve) and update you before proceeding for the resolution.
  4. On your confirmation, our tax expert shall submit the response to the Income tax department online.
  5. In general, overall time process for above steps takes one week or less. However, it may vary on case to case basis.

13. Is there any fee to be paid additionally if more than one Income tax Notice is issued to me?

Yes, Fee for our Income Tax ‘Notice Assistance Service’ shall be charged individually for each notice. You may avail Income tax ‘Notice Assistance Service’ for each Income tax Notice issued, jointly or individually as per your choice.

14. Do I need to pay the fees for Income Tax ‘Notice Assistance Service’, even if I have filed my Income tax return through

Yes, this is an additional service from Income tax return filing. Fee is required to be paid unless you have opted for Income Tax Notice Protection Service while filing your Income tax Return for the concerned year, subject to the terms and conditions. E.g. In case you had filed through myITreturn website and you receive a Income Tax Notice of defective return:

  1. If return is filed without opting for Income Tax Notice Protection Service, you need to pay the prescribed fee for the Income tax ‘Notice Assistance Service’.
  2. If Income Tax Notices Protection Service was opted while filing the return, no fee shall be charged to you. However, users who are already registered with shall be given concession if they wish to avail Income tax ‘Notice Assistance Service’.

15. What should I do if TDS credit has not been given to me?

Once the Income tax return is filed, the department processes the return and issues an intimation u/s 143(1). The Income tax intimation contains the details of the Income tax return submitted by the Assessee and that computed by the Income tax department. Sometimes it may so happen that the Assessee incorrectly takes credit of taxes, deductions etc or the department may not provide credit of taxes, etc. A rectification under section 154 of the Income Tax Act can be made for a mistake which is apparent from record. Some of the errors for which rectification can be filed are as follows:

  1. mismatch in tax credit (TDS)
  2. advance tax mismatch
  3. deduction under Chapter VI A not allowed

16. What should I do if I get Income Tax Notice u/s 139(9)?

If the Assessing Officer considers that the return filed by the Assessee is defective, he may intimate the defect to the Assessee by issuing a Income tax Notice u/s 139(9) of Income Tax Act and give him an opportunity to rectify the defect within 15 days. Some of the cases where a Income tax Notice under section 139(9) is issued are:

  1. Balance Sheet and Profit & Loss Statement are not filed in case where Assessee is required to maintain such details.
  2. Income Tax Return is filed before payment of Self-assessment Tax.
  3. Tax Deducted at Source (TDS) deducted has been claimed as refund but no Income details are provided in the return.
  4. Details of taxes (TDS Other) are filled but no Income details are provided in the return.
  5. To correct the defect, an Income tax return is required to be filed in response to the Income Tax Notice received within 15 days of notice. Otherwise the return is treated as invalid.

17. What should I do if I have received an Income Tax Intimation u/s 143(1) which shows Demand?

Intimation u/s 143(1) also called as Income Tax Notice 143(1) is the first stage where all Income tax returns are processed to correct arithmetical mistakes, internal inconsistencies (meaning bifurcation of a section like Chapter VI A, etc), tax calculation and verification of tax payment. At this stage, no verification of income is undertaken. It is completed through computerized processing and there is no human interference. This is intimation cum Income tax Notice for processing of Income tax return filed by the assessee. This Income tax intimation is usually received via email from Centralized Processing Centre (CPC), Bengaluru as a pdf file.

18. What should I do if I have received a Income Tax Notice stating that my Income Tax Refund is adjusted for earlier year Tax Demand?

This Income Tax Notice is sent to the Assessee to inform them that the Income tax authorities want to adjust outstanding tax demands of an earlier year from refund due. The demand may pertain to an earlier Assessment Year and when refund is claimed, same is adjusted against the demand. The Income Tax Department cannot adjust the refund against demand on its own. For this purpose, Assessee is sent this notice. If you do not agree with the adjustment, you may submit the disagreement through online response from the e-filing website of Income tax Department. The Income tax intimation under section 245 will also contain the time period upto which response is to be given, failing which, the adjustment would be considered as final and no further action will be possible.

19. What should I do if I have received an Income Tax Intimation / Income Tax Notice under section 143(1)(a)?

This Income Tax Notice is different from Income Tax Notice under section 143(1). This Income Tax Notice is issued seeking response to the errors / incorrect claims / inconsistencies which attract adjustment under section 143(1)(a). Income tax Notice u/s 143(1)(a) is an intimation from the Central Processing Centre (CPC) seeking clarification of the mismatch between the Income and deduction when compared to Form 16, Form 16A or Form 26AS. If you agree with the mismatch, then a revised return is required to be filed. An online response is also required to be submitted on the e-filing website. The income tax intimation under section 143 (1)(a) will also contain the time period upto which response is to be given which is normally 30 days from the date of notice.

20. What is Income Tax Notice under section 142(1)?

This Income Tax Notice is issued to seek for certain documents and details from the taxpayers. The purpose of this Income Tax Notices is to enquire the details of the assessee before making an assessment. The Income tax Notice can be issued in both the cases where return has been filed and where return has not been filed and time specified to file such return has expired. This Income tax Notice is issued to the assessee:

  1. to file Income tax return if the same is not filed within the time limit specified.
  2. to produce specific accounts and documents such as sales register, purchase register, voucher, receipts / proof of deductions availed, invoices of expenses made, etc.
  3. to produce other details and documents as the Assessing Officer thinks fit for the case.

21. What are the documents required to reply to an Income tax notice?

The documents required vary with the type of Income Tax Notices on a case to case basis. However, the basic documents needed to reply for any Income Tax Notice would be:

  1. The Income Tax Notices copy
  2. Income source proof such as Form-16 (part-b), salary receipts, etc.
  3. TDS certificates, Form-16(part-a), etc.
  4. Investment proofs if applicable

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