Income Tax Intimation u/s 143(1) Notice

How do I reply to a U/S 143(1) notice from the Income Tax Department?

Hey @TanyaChopra

An Intimation u/s 143(1)(a) is issued when there’s a mismatch between your tax credit statement i.e. Form 26AS and your tax return. This happens through automated checks at CPC (Centralized Processing Center) in Bangalore where your returns are processed.

You can respond to this intimation by registering and logging in to your account on the Income-tax website. You need to determine how you’re going to be responding to the intimation - there are three options available.

  • Agree - This means that you agree with the mismatch. If you do choose this option, you’ll also have to revise your filing.
  • Partially agree - Some of the mismatch is true, the rest of it isn’t - so you’ll choose this option and will need to revise your filing.
  • Disagree - This would mean that you’re not accountable for the mismatch and as a next step, you’ll provide accounts that add up to the difference in mismatch.

As you might imagine, there’s no real need to panic here as the intimation can be easily taken care of.

Hope this helped! If you have any further questions, feel free to ask.

I replied with agree for AY21-22 on incometaxefiling website, How do I pay the additional amount as the last date to file returns is over.

@Sakshi_Shah1 could you help with this ?

If you agree with the tax notice issued, there is an option to pay the outstanding demand under the option of e-proceedings. You can pay the tax from that option since the option for filing a Revised Return is not available after 31st march 2022.

Read more - outstanding tax demand

I filed my return within the due date and received a correction request from the IT department for a transaction I missed showing. Upon filing a revised return on March 31, 2022, I received a notice today that I cannot carry forward the current year’s loss. I already showed the losses in the original first return and showed the same in revised ITR too. Sharing exact notice wordings below:

Particulars: In Schedule Part B-TI, Taxpayer cannot carry forward current year loss except House Property loss if return is filed after the due date allowed u/s 139(1)

Please advise, I’ve to submit a response to this query

@Sakshi_Shah1 can you help ?

Hey @Sahil_1186

If you have filed the original ITR u/s 139(1) before the due date, there is nothing to worry. You can carry forward the loss even if the ITR was revised. This looks like an error from the end of income tax department. They have sent system-generated notices to many taxpayers with the same query. You should submit a response to the tax notice from your account on the income tax website requesting them to re-process the ITR and allowing carry forward of loss since the original ITR u/s 139(1) was filed within the due date.

When is the notice u/s 143(1)(a)(iii) issued?

Hi @Nandana

When the return is filed after the due date u/s 139(1) and yet the loss has been claimed, notice u/s 143(1)(a)(iii) is issued to disallow such loss.

Hope this helps!

Got following Notice for AY 2021-22

“Disallowance of loss claimed, as the ITR of the previous year for which set off loss is claimed was furnished beyond the due date specified under sub-section(1) of section 139 - 143(1)(a)(iii)”

A.Y. 2020-21 Filed on :Sep 25, 2020 (loss reported)
A.Y. 2021-22 Filed on : Nov 23, 2021 (loss adjusted)

I remember date was extended for both AY.
Please help

@Sakshi_Shah1 can you help?

There is no mismatch, no additional demand and no refund in the intimation u/s 143(1), what should I do?

Hey @Amitabh_Verma ,

The income tax department has successfully processed the income tax return. You can simply ignore the notice. No further action is required.

Here is all you need to know about intimation u/s 143(1)

Hope this helps!

I have received income tax demand notice u/s 143(1) in response to revised return I filed for AY 2020-21. The tax demand is due to mismatch of self-assessment tax paid receipt challan number mentioned in ITR (4 digit number : 1422) and what is shows in Form-26AS (5 digit number : 01422). I want to file rectification in reply to this notice, but I am not as still on new Income tax website, rectification option is not available. In this context, I have below questions. Please answer them and guide me. I would appreciate detailed reply.

1 - How many days I have to reply to tax demand notice?
2 - Should I wait to reply the tax demand notice till rectification option is made available on new Income tax website and I file rectification?
3 - In case I have to give reply to tax demand notice in certain time limit, then what kind of reply I should give as there is no rectification option available on new Income Tax website?

@Saad_C @Kaushal_Soni @AkashJhaveri @Divya_Singhvi @Laxmi_Navlani can you help with this?

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@Saad_C @Kaushal_Soni @AkashJhaveri @Divya_Singhvi @Laxmi_Navlani;@Nireka;

Any help on this topic please! I am awaiting experts comments!

Hey @gydave2000

Generally, tax demand notice cum order u/s 143(1) has to be replied within 30 days. However, adjournment or stay may be granted in case of genuine hardship involved.

As online rectification is not yet enabled on income tax portal, you may contact to jurisdictional AO and along with file the grievances related the same on the income tax portal in absence of non-functionality for online rectification u/s 154.

You can read below article for more insights about 143(1) intimation order:

Hope, it helps!

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@Kaushal_Soni ; Thanks you for your answer! :pray: :pray: :pray:

Hi Gaurav
how is this issue got resolved - challan number mismatch