Section 245 notice

If your client has received a notice under section 245, it's essential to address it promptly. Since you've already replied to the notice on August 10th, disagreeing with the demand, and haven't received a response yet, here are some steps you can take to resolve the issue and get the refund released ¹: - *Check the notice details*: Ensure you understand the reasons for the notice and the amount in question. - *Verify the demand*: Confirm if the demand is correct and if your client has any outstanding tax liabilities. - *Respond online*: Use the income tax portal to submit an online response to the notice, reiterating your disagreement with the demand. - *Contact the jurisdictional officer*: Reach out to the officer mentioned in the notice or the local income tax department to inquire about the status of your client's case. - *Escalate if necessary*: If you don't receive a response, consider escalating the matter to a higher authority or seeking assistance from a tax professional. Remember to stay proactive and follow up regularly to resolve the issue and release the refund.

A reply to a section 245 intimation does not by itself release the refund. The department must either adjust it against a demand it considers outstanding or release it; first check the response status and the demand’s current status in the income-tax portal, including whether it is shown as disputed, rectified or already paid. Past refunds being issued do not, on their own, extinguish an old demand.

If the demand is incorrect, submit a written follow-up through the portal’s grievance facility, quoting the section 245 response acknowledgement and attaching the old demand details, proof of any payment/adjustment, and records showing the demand was disputed or previously dealt with. Also seek rectification under section 154 where the portal record contains an apparent error; if the original assessment order itself needs appeal or other remedy, check the applicable limitation and available procedure. Ask the jurisdictional AO/CPC to confirm the demand’s basis and release the refund pending verification. The year of the notice and the portal’s current demand status will determine the precise route.

This is a demand-verification and refund-tracking workflow, so keep the notice, response acknowledgement and demand history together. Manual follow-up across portal records and past filings is difficult; automation can reduce repetitive work while professional judgment stays in control. At Jir AI, our 2,000+ AI agents and 650+ integrations streamline GST, ITR, TDS, TCS and other compliance workflows, helping reduce manual workload by up to 70%. WhatsApp us to explore a smoother compliance workflow: https://wa.me/message/3HVOZ7HIY4ESC1