Which type of income tax notice have you received from the list below? And its solution too

You can view and verify official communications on the Income Tax Department e-Filing Portal.

Common Types of Income Tax Notices in India

• Section 143(1) – Intimation Notice: Sent after your return is processed to point out mathematical errors, tax calculation mismatches, or differences between your return and your Annual Information Statement (AIS) / Form 26AS. It can result in a tax demand, a refund, or a zero-demand outcome. What to do
• Log in to the income tax portal and review the notice.
• If correct, no action is needed.
• If tax is payable, pay within 30 days.
• If incorrect, file a rectification with documents.
• Section 142(1) – Inquiry Before Assessment: Issued when the tax officer needs extra documents, accounts, or clarification regarding your income, deductions, or an unfiled return. What to do
• File your return, if pending.
• Submit the requested documents by the given deadline.
• Ignoring this can lead to penalties or scrutiny.
• Section 143(2) – Scrutiny Assessment Notice: Issued when your return is chosen for a detailed scrutiny assessment because of unverified data, suspicious claims, or high-risk discrepancies. What to do
• Cooperate by submitting all proofs, including income, deductions, or expense claims.
• Attend hearings if called, or respond through the portal.
• No response may lead to tax assessments based on estimates.
• Section 139(9) – Defective Return Notice: Sent if your ITR has technical errors or incomplete schedules, giving you a chance to rectify it within the timeline to avoid invalidation. What to do
• You have 15 days to correct and re-file.
• Log in, access the notice under ‘e-Proceedings’, and respond.
• Failing to act may make your return invalid.
• Section 148 – Reassessment Notice: Issued if the department has reasons to believe that some of your taxable income escaped normal assessment. What to do
• File a revised return or give explanation as per the notice.
• Justify the source of income and submit relevant proof.
• Ignoring this can lead to the reopening of past assessments and penalties.
• Section 156 – Notice of Demand: Sent to specify an amount of tax, interest, or penalty that you must pay within 30 days of the service of the notice.
• Section 245 – Adjustment of Refund Against Demand: Used when the department wants to adjust or offset a pending tax demand against your current year’s tax refund. What to do
• Check the notice in your portal under ‘e-Proceedings’.
• Agree or disagree with the reasons within 15 days.
• No response leads to the automatic adjustment of your refund.

Section 133(6)
Request for financial information
This notice seeks clarification on transactions like high-value cash deposits or property purchases.

What to do
Share relevant documents, such as bank statements or agreements.
Submit within the deadline to avoid further scrutiny.

HRA and TDS mismatch notices
These are sent when your house rent allowance (HRA) claim or TDS details don’t align with the department’s records.
What to do
Ensure tenant TDS compliance if rent exceeds Rs. .50,000 a month.
Keep rent receipts and the landlord’s PAN.
If the mismatch is real, file an updated return and retain documents for future reference.

Section 271AAC(1)
Penalty for unexplained income
If unexplained income, like sudden large deposits, is found during scrutiny, this notice may be issued.
What to do
Provide documentation explaining the source of income.
Penalties of up to 60% apply if the income is found to be unexplained.

How to Check and Authenticate a Notice

1. Log in to the Portal: Access the Income Tax e-Filing Portal using your PAN and password, then go to the e-Proceedings or View Notices/Orders section.
2. Verify DIN: Every valid notice from the department carries a unique Document Identification Number (DIN).
3. Use Pre-Login Authentication: You can cross-check whether a letter or order is real without logging in by using the Authenticate Notice / Order Service.