For Assessment Year (AY) 2026-27, taxpayers who have filed their income tax returns should keep an eye on their registered email and the e-filing portal.
If the Income Tax Department finds that a return contains missing, inconsistent, or incorrect information, it may issue a defective return notice under Section 139(9).
What is a defective return?
An income-tax return can be considered defective when the information provided is incomplete, inconsistent, or does not meet the requirements of the tax return form.
For example, a taxpayer may claim TDS credit but fail to report the corresponding income in the return. Similarly, certain details required for reporting business income may be left incomplete.
How will you know if your ITR is defective?
The Income Tax Department communicates the defect through:
- An email sent to the taxpayer’s registered email address, or
- A communication through post, or
- A notice that can be viewed after logging into the e-filing portal
The notice under Section 139(9) generally specifies the issue that needs to be corrected and the action required from the taxpayer.
How much time do you get to respond?
A taxpayer gets 15 days from the date of receiving the notice to correct the defect or submit a response. However, the specific deadline mentioned in the notice should be followed if it provides a different time period.
If additional time is required, the taxpayer may seek an extension or adjournment, subject to the applicable procedure.
What are the common reasons for a defective ITR notice?
Some situations that can result in a defective return include:
- TDS claimed without reporting the related income: A taxpayer claims TDS credit but does not include the corresponding receipt or income in the return.
- Mismatch in gross receipts: The receipts linked to TDS in Form 26AS are higher than the total receipts reported under the relevant income heads.
- Tax liability despite zero income: The return shows nil or zero income under the relevant heads and gross total income, but tax liability has still been calculated and paid.
- PAN name mismatch: The taxpayer’s name in the ITR does not match the name recorded against the PAN.
- Incomplete business details: A taxpayer reporting income from business or profession fails to provide the required balance sheet and profit and loss account details.
Can you correct the defect online?
Yes. The taxpayer can submit a response after making the necessary corrections in the ITR.
Taxpayers should carefully read the reason mentioned in the notice and provide the required information rather than making unrelated changes to the return.
What happens if you do not respond?
Ignoring a defective return notice can have serious consequences. If the defect is not rectified within the prescribed period, the return may be treated as invalid.
Depending on the circumstances, this could result in consequences such as:
- Interest or penalty implications
- Loss of the benefit of carrying forward certain losses
- Loss of specific exemptions or deductions
- The return being treated as not filed for the relevant assessment year
Can you file another return instead?
In certain circumstances, a taxpayer may be able to file a fresh or revised return if the applicable filing window is still open. Alternatively, the taxpayer can respond to the defective notice.
Once the relevant deadline for filing a fresh or revised return has passed, the taxpayer generally has to address the defect through the Section 139(9) response process. If the taxpayer fails to rectify the issue, the return may ultimately be treated as invalid.
Radhika Goyal is Author of Taxconcept Gurugram head office, for deeply reported tax, gst and income tax articles on issues that matter. He splits her time between New Delhi and Bengaluru, and has worked as a reporter, a podcaster and an editor for publications across India.