An I-T notice is a formal communication from the Income Tax Department (ITD) sent to a taxpayer for various reasons. Taxpayers who receive an income tax notice are not always at fault, since getting this notice can also signal something wrong with your filing. Notably, you can get such notices before and after filing their returns.
What are the types of tax notices?
The notice will most likely come to your linked email address. You can check the section mentioned in the email to understand what area of concern the particular notice is referring to. Income tax notices need to be addressed promptly to avoid penalties.
- Inquiry before assessment is under Section 142(1) of the I-T Act.
- Intimation letter is sent under Section 143(1) of the ITA.
- Notice for scrutiny of assessment is received under Section 143(2) of the ITA.
- Notice for escaping assessment is sent under Section 148 of the ITA.
- Demand notice is sent under Section 245 of the ITA.
Here’s how you can verify if the notice is authentic
Before responding to any notice or order, it is crucial to verify its authenticity. You can check whether the income tax notice is genuine by using the authentication feature on the I-T e-filing portal.
You will need to keep your PAN Card, tax documents, Document Identification Number (DIN) and phone handy in order to properly authenticate the notice.
- Failure to declare any income during the fiscal / assessment year in ITR, oversight in submission of relevant papers with ITR, non-disclosure or misreporting of capital gains during the fiscal / assessment year in ITR.
- Failure to correctly report investments for self, spouse or children, non-disclosure of high-value transactions during the fiscal / assessment year in ITR.
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