What is the best way of income tax notice reply after ITR filing?
Receiving a notice from the IT department can wreak havoc for your mind. Even though Income tax notices seem horrifying, it isn’t constantly vital to panic over them. Now and again, income tax notices might be a sign of an errors. However, you should respond to those notices as soon as you get hold of them. This article explains the unique kinds of Income tax notices and how to respond to them.
Why do individuals obtain income tax notices?
Even if you have faithfully paid all your taxes and filed your Income tax return, you can nevertheless get hold of notices from the Income tax department. But don’t worry; there are various other reasons you could acquire an Income tax notice. Allows have a notice them –
Erroneous facts in the Income tax return
Think there may be any discrepancy for your non-public details or income information. In that case, you shall receive a notice asking you to disclose your Income and asset info both inside India and outside India.
Discrepancy in declared income and actual Income
- You may also receive a notice from the income tax department if the department suspects that you haven’t suggested all your Income. In the sort of case, you have to put together all of your income proofs, paychecks, invoices, and financial institution statements.
Sudden modifications in earning and investments
Any tremendous increase or lower in Income degrees would possibly appeal to the attention of the income tax department. If your financial institution account consists of various excessive-price transactions, you might acquire a notice from the Income tax department.
- Sudden inconsistencies in TDS
The tds cited on the time of submitting the itr need to correspond to the amount referred to in form 26as and 16a. If there may be any difference between each the amounts, you could receive an Income tax notice under section 143(1).
- Evaluate and evaluation
You may get a notice below segment 143(2) if your itr is scrutinized. It can be due to discrepancies or wrong reporting. Ensure you reply as soon as viable, or the department ought to penalize you.
- Delay in ITR filing
If you don’t document the itr before the due date, you may get hold of a notice from the Income tax department for delayed itr submitting.
- Tax evasion in prior years
When you have kept away from taxes in the preceding years and now not inside the current yr, you might nevertheless acquire a notice from the income tax department u/s 147 of the income tax act.
What are the forms of Income tax notices?
There are exceptional sorts of income tax notices which you would possibly receive. Under is a listing of the income tax notices –
- Notice u/s 142(1)
The Income Tax authorities can issue a notice for further clarification on the ITR filed or ask for further details on the ITR under Section142(1). You might also receive a notice under this section if you do not file the ITR by the due date.
• Notice u/s 139(9)
The Income tax department would possibly ship you a notice for a ‘faulty return.’ in this sort of case, the ao or assessing officer presents you 15 days grace length to accurate the itr u/s 139(9).
• Notice u/s 148
If the assessing officer has strong evidence that you haven’t stated or underreported any Income that is chargeable to tax or attempts to prevent taxes, you would possibly receive an Income tax notice u/s 148.
• Notice u/s 156
The Income tax department may ship you a notice u/s 156 asking you to make the charge of any interest, tax, or penalty due. Commonly, the assessee is allowed a window of 30 days to pay the quantity requested.
• Intimation u/s 143(1)
Intimation u/st 143(1) is dispatched to the assessee whilst an incorrect claim is made, or another blunders in tax calculation is made. The intimation includes a summary of the information of the itr submitted via the assessee.
• Note u/s143(2) and 143 (3)
Notice u/s 143(2) is issued when the assesses ITR has been selected for scrutiny or exact checking. The IT department sends a notice to the assessee declaring that their books may be checked to determine the correctness of the claims made. And the scrutiny is performed under segment 143(3).
• Notice u/s131
The income tax officer can summon the assessee in character u/s 131 by sending him a notice. If the assessing officer has a strong cause or proof to suspect the evasion of taxes or unreported income, he/she will ship a notice to the assesses asking them to be found in character.
• Notice u/s 245
Think there is any pending tax liability from the preceding years. If so, the income tax department can ship you a notice and offset the earlier liabilities from the cutting-edge years Income tax refund.
The way to respond to one-of-a-kind sorts of Income tax notices?
Once you receive a notice from the Income Tax, you have to respond to it in the following manner –
- Visit the e-filing portal, i.e., incometaxfiling.gov.in, and log in using your User Id and Password.
- Click on e-proceedings. It consists of a timeline of all actions related to the assessment.
- Click on the links sent in the email. All the messages related to the proceedings will be displayed.
- Click ‘Submit’ under the ‘Response’ tab for every email that requires you to send a response.
- Depending on the requirement, you can select either ‘full response’ or ‘partial response.’
- Write a description of your response in not more than 4000 words in the textbox in the area near the response/remarks.
- Upload a copy of the cover letter or annexures to serve as proof.
- Click the Checkbox to confirm that all the information provided by you is accurate.
- Lastly, you have to e-verify your identity using a digital signature and click ‘Yes.’
This text must have helped you study the exclusive sorts of notices dispatched by using the income tax department. Now you may without problems respond to them without panicking. We at TAXGYANY additionally offer you with ecas that will help you along with your ITR responses.
sources : https://www.incometax.gov.in/iec/foportal/help/respond-to-e-proceedings
for more information : https://taxgyany.com/product-category/income-tax-return/