ITR Filing: After filing ITR, if someone receives an income tax notice under section 143(1), then there is nothing to worry about. Rather, it contains information about the completion of the process.
ITR Filing: After thorough scrutiny of the Income Tax Returns filed by the taxpayers, the Income Tax Department sends them an intimation notice under section 143(1) of the Income Tax Act, 1961. The tax department sends this intimation notice to the registered email id of the taxpayer. An SMS is also sent to the registered mobile number of the taxpayer informing him about the intimation notice sent to the registered email ID.
Income Tax Intimation Notice informs the taxpayer whether the income tax calculations given by him in the ITR are in sync with the tax department, based on the information available with him. While processing ITR, the tax department checks for arithmetical errors, discrepancies, tax and interest calculations. The department also verifies the tax payment made and once the processing of all the information provided by the taxpayer is completed, the tax department sends an intimation notice under section 143(1).
Tax experts say that you should read the income tax intimation notice carefully. In such a situation, whenever any income tax notice is received from the Income Tax Department, we need to check a few things.
Experts are of the opinion that after getting the information, first of all check should be done in the information notice whether the personal details like name, address, PAN etc. are correct or not.”
It needs to be investigated as to who has received the notice i.e. whether it is a notice under section 143(1) for processing of ITR, is it a defective notice under section 139(9), is it section 143 (2) There is a notice of inquiry assessment under etc.
One has to read and tally the ITRs filed and check the reason for the notice.
Depending on the nature of the notice, there is a compliance check that needs to be furnished such as filing of revised ITR, submission of rectification request, payment of demand etc.
With effect from 1st April 2021, the Income Tax Department will have to send intimation notice to the taxpayer within 9 months from the end of the financial year in which the ITR has been filed.
The last date to file ITR for the financial year 2020-21 is 31 December 2021.
It is important to note that tax notices do not end with section 143(1). Since only prima facie scrutiny is done by the tax department at the time of processing. The department may still send tax notices under a separate section for more information in future.
