Chaitra Seetharam
Quick Summary
Overview An Income Tax Demand Notice issued under Section 143(1) is an"intimation" sent by the Centralised Processing Centre (CPC) after your ITR is processed. It is triggered when a discrepancy in the return results in additional tax due, a refund, or no change at all. This notice is typically sys
Daily Limit Reached
You have reached your daily limit of 2 Free Articles
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Broadcasts
- Daily E-Newsletter
- Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits
Already a PRO member? Login here for an ad-free experience.
FAQ :
It's an 'intimation' sent by the Centralised Processing Centre (CPC) after your Income Tax Return (ITR) is processed. It's issued when a discrepancy is found, resulting in additional tax due, a refund, or no change.
Common reasons include a mismatch between your reported income and figures in Form 26AS/AIS/TIS, incorrect claims for TDS or advance tax, disallowance of deductions, arithmetical errors in your return, or system adjustments for fees and interest.
If you agree, log in to the e-filing portal, go to 'Pending Actions' > 'Response to outstanding demand,' choose to 'Agree,' pay the demand via Challan ITNS 280 or e-pay tax, and then map the challan on the portal.
If you disagree, select 'Disagree' on the 'Response to outstanding demand' screen, provide reasons, and attach supporting documents. You should also consider filing an online rectification request under Section 154.
Failing to respond within the specified timeframe (usually 30 days) can lead to interest accrual, recovery proceedings, adjustment of future refunds against the demand, or further departmental action.
CAclubindia
