Other Tax

Other income Tax Notice

You should respond to this notice directly through the Income Tax Department’s online portal, eliminating the need to visit the I-T office physically. The response involves either submitting the requested documents or providing valid reasons for being unable to do so. Ignoring this notice is not advisable, as it could lead to further legal actions.

Notice under Section 142(1) – Inquiry Notice

An income tax notice u/s 143(2) is issued by tax authorities as part of the scrutiny assessment process u/s 143 (3). This type of scrutiny assessment may be undertaken by assessing officer in order to ensure that the tax payer has not understated income, paid lower tax or shown excessive loss to reduce tax liability.

Notice under Section 143(1) – Intimation

This is issued after you file your income tax return. The Income Tax Department has the authority to send this notice, often called an intimation notice, within a year after processing the return. It informs you of any additional tax due that wasn’t declared in your return or notifies you of any refunds due.

Notice under Section 143(2) – Scrutiny Assessment Notice

This notice is issued primarily for scrutiny purposes, which can be random or through computer-based selection. It aims to verify that the taxpayer has not understated income, claimed excessive losses, or underpaid tax in any way.

Notice under Section 148 – Commence Proceedings

This notice is issued when the income tax assessing officer believes that some income may not have been fully assessed, suggesting potential underreporting. Before any reassessment action is taken, taxpayers are allowed to present their case. Additionally, the assessing officer must provide reasons for suspecting that some income has escaped assessment.