AMA: All About Income Tax Notices

The objective of the e-campaign portal is to facilitate taxpayers to validate their financial transaction information against the information available with the Income Tax Department and promote voluntary compliance so that they do not need to get into notice and scrutiny process.

Hello guys, I have a salaried job and I also run my business where I help people to avail services like e-ticketing and bill payment. since my business is of small scale, I do not have a current account, I use my savings account. I have some cash deposits which are from my business. Can you help me to report cash deposits in my saving accounts. I will be obliged, if you can help me. This will help me to file my taxes with quicko easily.

Hey @Dia_malhotra,

Taxpayers who have received any such verification issue needs to submit a response on those issues raised. The response has to be submitted online by logging into the compliance portal.

Hope this helps ! :slight_smile:

Received a intimation SMS on 28March 2021 that Income Tax Department has identified high value information which does not appear to be in line with the income Tax Return files for Assessment Year 2020-21. Please revise ITR/Submit online response under e-Campaign tab on Compliance Portal.

After the deadline I checked on Compliance Portal and realized that i had under mentioned my Interest Income from savings account. So i confirmed on Compliance portal that the information is correct. This i did on 5th April.

I was informed that as the 31st march 2021 has expired now nothing much can be done and i have to wait for income tax notice.

Yesterday i read in newspaper that the deadline for filing income tax return has been extended till end of May.
Can something be done now or i should wait ?

Important inputs : Filed return for AY-2020-21 on 29/12/2020 (139(1)) ITR-1
Received intimation of ITR Processed 6th Jan 2021 u/s 143(1)
As per the 143 (1) net amount payable/refundable was zero

SMS Received : 28 March 2021 for compliance
Compliance portal response submitted : 5th April 2021

Hi @SumKum,

You can file a revised return for FY 2019-20, till 31st May 2021.

Here’s another article you might find useful,

You also reach out to team Quicko for any assistance you need for filing the revised ITR to responding to intimation by the ITD. We are always here to help :slight_smile:

Thanks @Nireka ,

I had used ITR-1 for the filing the Original return.
Now when i login on Income tax website select relevant details and ITR-1.
I only get the following in the drop-down.
119(2)(b)-after Condonation of delay.

Is it because my ITR was already processed under 143 (1) (net amount payable/refundable was zero) on 6 Jan 2021.

Should i wait for the IT department to rectify the technical thing on their website.

Regards,
Sumit

@SumKum,

The e-filing of the revised return for FY 2019-20 is yet to be enabled. You should wait until the Income Tax Department enables filing of the revised return.

We’ll notify once it is enabled, follow Quicko on Twitter to stay updated :slight_smile:

The time limit to respond to a notice u/s 139(9) was 15 days, it missed the timeline to respond - what should I do and what are the consequences now?

Hey @Faaz_Shaikh ,

If you don’t file a response within 15 days then your return can be treated as an Invalid Return. Invalid return means no return has been filed for that year. And you can end up with penalties for failure to file return in time. However, you can file a revised return afterwards to save yourself from a penalty.

Here is all you need to know about Defective Return notice u/s 139(9)

Hello,
I was issued a notice u/s 148A on March 16 for the AY 2018-19. The email address used in the notice was not mine, but of a consultant I hired to file ITR way back in 2015. From 2016 onwards I have filed my own ITR using my own email, which is reflected in the submitted ITR and is the same email registered on income tax portal. I have no idea why the notice was issued to an irrelevant email address. There was no physical notice issued.

Anyway, since the email address where the notice was sent to is not mine, I did not receive email notification and the 7-day window for responding to the notice was closed on March 25. I found out about the notice yesterday after randomly logging into my account on portal and browsing casually. How do I deal with this now?

Hey @vejavyl423,

Usually, the ITD issues notice multiple times. You can wait for it and respond to it then.

You should also update your contact details from the profile section. Here are the steps to help you with it

Thank you Nireka for your reply.

In this case, my profile already has correct email address (has been since 2016) and same is reflecting in all ITR filed since 2016. Still the notice was issued to wrong email address. Is the notice/order valid in such case?

Hello @vejavyl423

The Assessing Officer would have issued the notice on the email mentioned in the Income Tax Return filed for the relevant Assessment Year. The notice is still valid since it was also reflected in your account on the Income Tax Portal.

If the window to submit the online response has been closed, here are the available options:

  1. You can visit the Assessing Officer (AO) as per your jurisdiction and submit a reply for the notice issued. To search for details of your AO, refer to this - How to find Income Tax Assessing Officer (AO) details?

  2. You can wait if another notice is issued and reflected in your income tax account

Thank you ma’am @Sakshi_Shah1 for your reply.

However sorry to say that the response completely misses/ignores the facts I have presented in my posts: As mentioned in my posts, The ITR for the relevant assessment year (in fact ALL ITRs since 2016 onwards) are filed using CORRECT email address. Also the profile on income tax portal has the CORRECT email address since 2016. Still the notice was served on WRONG email address that’s neither mentioned in ITR nor on income tax portal. I hope this clarifies the situation.

Hi @vejavyl423

Apologies for missing that out.

Usually, the tax notice is always sent on the email mentioned in the Income Tax Return. In your case, though it was sent on the wrong email, it was still reflected on the tax portal. However, since this is a genuine issue, you may communicate it to the Assessing Officer. If he considers, he might open the window to submit response for the notice.

Thank you ma’am, that certainly helps. I also came across a couple of court judgements where notices served on wrong address or email address were rendered invalid -

This gives me some hope. Thank you for your help!

There are two issues that need to be addressed :

  1. Valid Service of Notice

provisions of e-assessment scheme makes a notice valid by uploading it on income tax portal. However the department also sends a mail / SMS for same on registered contact details. Not sending the same is difficult to prove in court and will not help in making the case liable. On ground level, have seen tax officers uploading the notices with back date on income tax portal, proving the same in court of law will be sheer luck. Hence, cannot challenge the validity of the notice.

  1. How to deal with it now?

Now, another notice u/s 148 will be issued. Against which return of income will be required to be filed within 30 days. Read the questions raised in 148A notice, collate documents and information to justify the same and participate in the scrutiny proceedings that will ensue in a tactful manner. Recommended to take assistance of a tax professional

May contact the undersigned in case of any clarification(s)

Warm regards

CA Ankit Aggarwal
9999274569

Thank you @CA.Ankit for your response, that is indeed helpful.

Hi,

This is regarding my income for the AY 2020 - 21. In year 2019-20, I was non-resident alien in US and had income from both US and India. I have paid taxes in US and also in India (ITR-2). In the ITR, I showed total income including US income. While calculating total tax, I deducted the tax already paid in US (Relief u/s 90) and then paid the rest. Last month I received a notice from Income tax department demanding more money with penalty now. When checked, I found the tax paid in US was not taken into consideration.

Isn’t this a mistake on Income tax department side or my understanding in terms of calculating tax was incorrect?

@Anar_Desai, could you please look into this.