Notice Response

Section 143(1): intimation — processing order, not a scrutiny notice; typically about mismatches in computation. Section 143(2): scrutiny notice — your return has been selected for audit; respond within the specified date. Section 148A: before reassessment — AO provides information suggesting escaped income; you respond within 15 days. Section 131: summons for production of documents or appearance — must comply. Section 156: tax demand notice — 30 days to pay or appeal. Section 245: adjustment of refund against demand — respond if the demand is disputed.

Section 143(1) intimation is issued by the Centralised Processing Centre (CPC) within 9 months of filing. It covers: arithmetic errors in the return, incorrect claims not matching Form 26AS/AIS, and disallowances for specific deductions. If the intimation shows additional demand: verify against Form 26AS and AIS to identify the mismatch; file a rectification application under Section 154 within 4 years if the error is in the CPC's processing. If the demand is valid: pay via Challan 280. The intimation is not an assessment order — no appeal lies.

Section 142(1): AO issues this before completing the assessment to requisition: (a) return of income (if not filed); (b) production of accounts and documents; (c) questionnaire asking specific questions about income, deductions, and transactions. Respond within the specified time (typically 15–30 days). Documents requested are usually: bank statements, stock register, ledgers, sales registers, supporting for deductions claimed, and valuation reports for assets acquired. Delayed or incomplete response leads to best judgment assessment under Section 144.

Section 148A (introduced by Finance Act 2021): preliminary inquiry before reopening assessment. The AO must: (a) provide information to the taxpayer about the alleged escaped income; (b) hear the taxpayer's response (within 15 days); (c) obtain prior approval from the designated authority; (d) pass a reasoned order under Section 148A(d) before issuing notice under Section 148. This is a pre-notice stage — challenge the Section 148A(d) order itself before filing the ITR under Section 148. The 3-year limitation for Section 148A applies from the end of the relevant assessment year.

Immediately: (a) verify the notice is genuine by checking the Income Tax Department portal under 'Pending Actions' — phishing notices are common; (b) check the relevant section, AY, and response deadline; (c) do not respond without CA review — responses are admissions and create a paper trail. The CA's role: analyse the AO's basis for the notice, prepare a factual and legal response, compile supporting documents, file the response on the e-proceedings portal under Section 133(6)/142(1)/143(2). For GSTN/MCA notices: similar protocol — verify authenticity on the respective department portal.