In case you have received an Income Tax Notice under Section 143 (1), do not worry. Read more about this section in this article.
Every earning individual is required to file an ITR voluntarily under Section 139 or as directed by the Income Tax Department under Section 142 (1). As per Section 143 (1), a notice is sent to the taxpayer on their registered email ID to inform him/her whether income tax calculation in the ITR filed by them matches that of the tax department.
While processing your ITR, the Income Tax Department carries out a preliminary assessment. The assessment aims to correct or rectify arithmetical errors, internal inconsistencies, tax calculation and verification of tax payment. In case there has been any type of discrepancy, the taxpayer is issued a notice under Section 143 (1) to communicate the same. The intimations are usually computer generated.
Request for Resending Intimation Order
As mentioned above, the notice is computer generated and automatically sent to the taxpayer’s registered email ID. You can follow these steps to resend the intimation order online.
- Visit the eFiling portal of Income Tax Department of India - incometaxindiaefiling.gov.in
- Click on My Account menu and select ‘Service Request’
- Select the ‘Request Type’ as ‘New Request’
- Select the Request Category as Intimation u/s 143(1)154/16(1)/35 and Click ‘Submit’
- Enter the requested details - Return Type, Assessment Year, Category (Intimation u/s 143(1) and Sub Category (if applicable)
- Post submission, you can view the status of the submitted form and the intimation order will be sent again to your registered email ID
Note: The intimation notice is password protected PDF. The password is a combination of your PAN in lowercase and date of birth in the following format - DD-MM-YYYY.
How do I Read the Intimation Notice?
- You need to first check your basic KYC details, such as name, PAN, address, etc. in the intimation notice
- Check if the income tax computation given by you in your ITR matches with the Income Tax Department’s computation
- Check the details of the tax saving deductions claimed by you in the ITR
- Check if the income and tax-saving details in both columns are matching
- Additional information includes tax liability on the net taxable income, interest under Sections 234A, 234B, 234C, tax relief (if any), total income tax liability and late filing fees under Section 234F
The income tax computed by the department can be either higher or lower. As per the discrepancy, you will be required to pay additional tax or will be entitled to a refund. In case of a refund, the amount will be reflected in the intimation and the Income Tax Department will automatically transfer to the bank account stated by you for this purpose in your ITR after it is processed.
Note: Section 143(1) intimation is sent within one year from the end of the financial year in which the return is being filed. If you do not receive any intimation within this period, it means there are no adjustments carried out to the return filed and no change in tax liability/refund.
Types of Intimations
The three basic types of intimations are:
- Intimation with no demand or no refund - Under this case, the Income Tax Department has accepted the returns as filed without carrying out any adjustments to it.
- Intimation determining demand - Under this case, any adjustments made under Section 143 (1) due to a discrepancy are found and tax liability is calculated accordingly.
- Intimation determining refund - Under this case, any amount of tax is refundable either where no inconsistency is found in the return filed or post making adjustments as referred to in Section 143 (1) and after giving credit to the taxes and interest paid by the individual.
Now that you are aware of Income Tax Notice under Section 143 (1), it is advisable to take the corrective steps in case you receive an intimation.
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