Income Tax Notice & Assessment

An income tax notice is a formal communication from the department seeking information, flagging a mismatch, or proposing an adjustment. Common notices include 143(1) intimation, 139(9) defective return, 142(1) enquiry, 143(2) scrutiny, 148 reassessment and 245 adjustment of refund. Each has a strict response deadline.

Who needs this: Any taxpayer can receive a notice. Most are system-generated from mismatches between your ITR and AIS/26AS/GST data and can be resolved online without a visit.

Government portal: Income Tax e-filing portal (incometax.gov.in) → e-Proceedings / Pending Actions.

Indicative fees: ₹2,000–₹15,000 depending on complexity (a 143(1) rectification is simple; a 148 reassessment or scrutiny needs professional representation).

Timeline: Response windows range from 15 to 30 days; act before the deadline stated in the notice.

Documents required

The notice itself (with DIN)
Copy of the ITR filed
Form 26AS and AIS/TIS
Bank statements and proof of income
Deduction proofs (80C, 80D, home-loan, etc.)
Any earlier correspondence with the department

Step-by-step process

Read the notice carefully — identify the section, the assessment year and the exact deadline
Verify the notice is genuine by checking the Document Identification Number (DIN) on the portal
Log in to the e-filing portal and open the notice under e-Proceedings
Reconcile the flagged item against your ITR, 26AS and AIS to find the mismatch
Prepare a point-wise reply with supporting documents
For a 143(1) mismatch, either agree and pay/adjust, or disagree and file a rectification under section 154
For a defective return (139(9)), correct and re-file within 15 days
Submit the response online before the deadline and keep the acknowledgement

Penalty for non-compliance

Ignoring a notice can trigger a best-judgment assessment under section 144 plus penalties under 270A (up to 200% of tax on under-reported income).

Frequently asked questions

What is a 143(1) intimation?

It is an automated summary after your return is processed, comparing your figures with the department's computation. If it shows a demand or refund, you can agree, or file a rectification under section 154 if it is wrong.

How do I check whether a tax notice is genuine?

Every genuine notice carries a Document Identification Number (DIN). Use 'Authenticate Notice/Order issued by ITD' on the e-filing portal to verify it — treat any notice without a valid DIN as invalid.

What happens if I ignore an income tax notice?

The department can make a best-judgment assessment under section 144, levy penalties, disallow refunds, and in serious cases initiate prosecution. Always respond within the deadline, even if only to seek time.

What is a section 148 notice?

It reopens a past assessment where the department believes income has escaped assessment. It has strict time limits and requires a careful, documented response — usually with professional help.

Can I get more time to respond?

Yes, you can file an adjournment request through the e-Proceedings tab, but do it before the original deadline and give a genuine reason.