Income Tax Notice in 2026? How to Respond Step by Step
Receiving an income tax notice can be unsettling, but most notices are routine and can be resolved quickly if you respond correctly and on time.
COMMON TYPES OF INCOME TAX NOTICES
143(1) Intimation: An automated notice from CPC Bengaluru after processing your return. It shows adjustments made to your declared income, tax, or refund. If you agree with the adjustment, no action is needed. If you disagree, you can file a rectification request under Section 154 through the Rectification service on the e-filing portal. Note: if the issue is a prima facie adjustment proposed under Section 143(1)(a) before final processing, you respond through the e-Proceedings tab with Agree or Disagree.
142(1) Notice: A request from the Assessing Officer for additional information or documents. You must respond within the time specified in the notice, typically 15 to 30 days. Reply through the e-Proceedings section on the e-filing portal.
143(2) Scrutiny Notice: This means your return has been selected for detailed examination. The AO will ask for books of accounts, supporting documents, and explanations. This is more serious than 142(1) and often requires professional help.
148/148A Reassessment Notice: Issued when the department believes income has escaped assessment. Under current law (post Finance Act 2021), the AO must first issue a notice under Section 148A giving you an opportunity to respond before issuing the reassessment notice under Section 148. An exception applies for cases arising from search or requisition under Sections 132 or 132A, where Section 148A is not mandatory.
HOW TO RESPOND
1. Read the notice carefully. Note the section number, the deadline for response, and exactly what is being asked.
2. Log in to the Income Tax e-filing portal at incometax.gov.in.
3. Go to the e-Proceedings or Pending Actions tab. Most notices now require online response.
4. Upload the requested documents or submit your reply within the deadline.
5. Keep a copy of every submission with the acknowledgment number.
DO NOT IGNORE ANY NOTICE
Non-response to a 142(1) or 143(2) notice can result in a best judgment assessment under Section 144, where the AO determines your income based on available information without your input. Penalty under Section 272A(1)(d) of Rs 10,000 per failure may also apply for non-compliance with 142(1) or 143(2) notices.
WHEN TO HIRE A PROFESSIONAL
For 143(1) intimations and simple 142(1) information requests, you can often respond yourself. For 143(2) scrutiny and 148 reassessment, engage a CA or tax advocate. These proceedings involve legal arguments and evidence presentation where professional guidance makes a material difference.
PRACTICAL TIP
Check your e-filing portal inbox regularly. Many taxpayers miss notice deadlines because they do not log in frequently. Enable email and SMS notifications on the portal so you are alerted when a new notice is issued.
COMMON TYPES OF INCOME TAX NOTICES
143(1) Intimation: An automated notice from CPC Bengaluru after processing your return. It shows adjustments made to your declared income, tax, or refund. If you agree with the adjustment, no action is needed. If you disagree, you can file a rectification request under Section 154 through the Rectification service on the e-filing portal. Note: if the issue is a prima facie adjustment proposed under Section 143(1)(a) before final processing, you respond through the e-Proceedings tab with Agree or Disagree.
142(1) Notice: A request from the Assessing Officer for additional information or documents. You must respond within the time specified in the notice, typically 15 to 30 days. Reply through the e-Proceedings section on the e-filing portal.
143(2) Scrutiny Notice: This means your return has been selected for detailed examination. The AO will ask for books of accounts, supporting documents, and explanations. This is more serious than 142(1) and often requires professional help.
148/148A Reassessment Notice: Issued when the department believes income has escaped assessment. Under current law (post Finance Act 2021), the AO must first issue a notice under Section 148A giving you an opportunity to respond before issuing the reassessment notice under Section 148. An exception applies for cases arising from search or requisition under Sections 132 or 132A, where Section 148A is not mandatory.
HOW TO RESPOND
1. Read the notice carefully. Note the section number, the deadline for response, and exactly what is being asked.
2. Log in to the Income Tax e-filing portal at incometax.gov.in.
3. Go to the e-Proceedings or Pending Actions tab. Most notices now require online response.
4. Upload the requested documents or submit your reply within the deadline.
5. Keep a copy of every submission with the acknowledgment number.
DO NOT IGNORE ANY NOTICE
Non-response to a 142(1) or 143(2) notice can result in a best judgment assessment under Section 144, where the AO determines your income based on available information without your input. Penalty under Section 272A(1)(d) of Rs 10,000 per failure may also apply for non-compliance with 142(1) or 143(2) notices.
WHEN TO HIRE A PROFESSIONAL
For 143(1) intimations and simple 142(1) information requests, you can often respond yourself. For 143(2) scrutiny and 148 reassessment, engage a CA or tax advocate. These proceedings involve legal arguments and evidence presentation where professional guidance makes a material difference.
PRACTICAL TIP
Check your e-filing portal inbox regularly. Many taxpayers miss notice deadlines because they do not log in frequently. Enable email and SMS notifications on the portal so you are alerted when a new notice is issued.
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Disclaimer: This content is the author's personal opinion and analysis. It does not constitute professional tax or legal advice. Consult a qualified professional for specific advice on your situation.
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