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Ok, so you have received a notice u/s 143(1) and that's causing sleepless nights for you? Well, that’s what an income tax notice does to individuals. But let us tell you an interesting fact, that you might not be aware of the fact that, not all Income Tax Notices are as dreaded as they’re perceived. Some income tax notices have good news too. So you should keep calm and read the notice carefully. This guide would also be helpful for you to understand how to respond to the notice you have received?

What exactly is Intimation u/s 143(1)?

Basically, when a return is submitted to Income Tax Department, the department applies the following computerized checks as a part of its review procedure:

  • Arithmetical errors in the return.
  • An incorrect claim, which is apparent from any information in the return. For example, if the deduction u/s 80C is claimed more than the maximum permissible deduction u/s section 80C i.e. Rs 1,50,000, the excess shall be disallowed and it will be reflected in your intimation u/s 143(1). Another example may be that rent income deducted from business income but same is not shown under Income from House Property.
  • Disallowance of expenditure indicated in the audit report but not taken into account in computing the total income in the return
  • Comparison of Advance Tax, Self-assessment tax and TDS etc. from 26AS.
  • Claiming the losses for carry forward to next year when return is submitted after the due date / set off of losses of previous year where return was filed after the due date.
  • Whether deduction under section 10AA, 80-IA, 80-IAB, 80-IB, 80-IC, 80-ID, 80-IE or section 80-IA has been taken after the due date of Income Tax Return
  • Calculation of Tax, Late filing fees and Interest etc.

After these checks, have been applied, then Income Tax Department Issues Intimation u/s 143(1) in the cases where there’s:
  • Increase/decrease in Tax/Interest Payable, or
  • Increase/decrease in Refund, or
  • Adjustment that makes a change in the loss claimed

However, practically you can still receive it, even if your case does not fall in the above mentioned three criteria.


So, to sum up, Intimation u/s 143(1) is a computer-generated notice which contains the final amount of tax payable or refund to be granted, along with interest.

The intimation u/s 143(1) shows side by side comparison of:
  • (a) Tax Calculation as provided by the you in the Return of Income.
  • (b) Tax as Computed under section 143(1) {i.e. As per Department}

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Now, there’ll be two cases, either you’ll agree with the computation done by the department or you’ll not be satisfied.

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If not satisfied: Connect with our expert CA

And, if the net amount refundable or payable is zero or less than Rs. 100, then you can treat the intimation received u/s 143(1) as the completion of return filing process from Income Tax Department for the financial year in relation which the return was filed.

Lastly, do not ignore this notice as you’re required to submit your response within 30 days of receipt of such notice.

Notes:
  • 1. Intimation u/s 143(1) can be issued only up to 1 year from the end of financial year in which the return is filed, and not after that.
    For example, if you have filed your return for the year 2018-19 on 21.07.2019, then in that case, intimation u/s 143(1) can be issued to you only up to 31.03.2021.
  • 2. You can revise your return even after receiving intimation u/s 143 (1) as this intimation is not an assessment.

Did you receive tax notice? Let us help you respond to the IT Department.

- Tax2win has expertise in responding to Income Tax Department

- Our experts would help you avoid legal consequences by assisting in responding accurately.

What if no intimation is received till the expiry of one year?

In case, you do not receive any intimation till the expiry of one year from the end of financial year in which you have filed your return, then, Income Tax Department cannot raise any tax demand on you. And, thus, your ITR – V acknowledgement will be deemed to be your intimation in that case.


How is the intimation received?

These intimations are auto generated which are sent to the Email address providedby you at the time of filing income tax returns online / mail id given at the time of registration on income tax website. The sender of these mails is Central Processing Centre (CPC) with the sender id being [email protected] as the returns are processed at CPC only. The attachment received is a password protected file which is your PAN number in lower case followed by your date of birth in DDMMYYYY format. For example, your PAN is AAGRK5803P and your birth date is 2nd November, 1982, then the password to open your online intimation u/s 143(1) shall be “aagrk5803p02111982”.

As the technology is growing, so is Income Tax Department. Now with the sending of Intimation u/s 143(1), a text message is also sent on the registered mobile number.

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How can you contact the income Tax Department in such a case?


You can contact the Income Tax Helpline/Toll Free Number of CPC Bangalore Income Tax Department (Bangalore) at 1800 103 4455 or 91-80-46605200 for Income tax queries. You can easily contact them with the help of the Communication Reference Number mentioned on the intimation issued to you.

Still need the expert advice? Contact CA

Check the following points when you receive an intimation u/s 143(1):


  • The intimation has your name on it.
  • All Incomes are considered properly under appropriate head and Income of one head is not considered under another head or repeated elsewhere.
  • The deductions you have claimed under 80C and other sections of chapter VI A are considered.
  • TDS claimed, Advance Tax paid and Self-Assessment Tax paid is reflected in the computation by CPC.

So, don’t get paranoid even if an intimation u/s 143(1) has been issued to you. Simply, go through the intimation, gather your supporting evidences and respond! For expert assistance of a CA and clarification, contact us at [email protected] or call +91-9660996655!


How to request for reissue of Intimation?

All the intimations and communications by the income tax department are served by Email and many of the time we miss checking our mailbox or accidently loose them. So, to get the copy of intimation again you can make an online request for reissue of the intimation u/s 143(1)/154. Just follow these steps :

Note: Click on the below steps to see how your screen will look like while following the process.

Frequently Asked Questions

Q- How do I check my 143(1) online?

Ans. It is ITD practice to send 143(1) on the registered mail.However, if you have not received you can still request for 143(1) by logging into your income tax account, then my account and request for 143(1) intimation.


Q- Is intimation US 143(1) an assessment order?

Ans. No, 143(1) is not an assessment order, as it is only intimation of return getting processed.


Q- How do I open intimation US 143(1) ?

Ans. To open intimation received under section 143(1), the password is PAN and DOB ,for example, your PAN is AAGRK5803P and your birth date is 2nd November, 1982, then the password to open your online intimation u/s 143(1) shall be “aagrk5803p02111982”


Q- How do I file rectification for intimation US 143(1) ?

Ans. To file rectification for intimation u/s 143(1), all you have to do is to login to your income tax portal account, then go to e-file and select rectification and choose relevant A.Y. and file.


Q- Can I use Intimation u/s 143(1) as address proof?

Ans. It can be used as proof of address.


Q- Is intimation u/s 143(1) and tax assessment order the same?

Ans. No, tax assessment order and intimation is not same.


Q- What do I do if there is no mismatch in an intimation u/s 143(1) notice, no demand or no refund?

Ans. Then there is nothing to worry, it means your ITR has been processed successfully.


Q- What is the “communication of proposed adjustment u/s 143(1)(a) of the Income Tax Act, 1961”?

Ans. It means that the details as per Form 16 and Form 26AS does not match


Q- Do I need to reply to a 143(1) INTIMATION, if I have 0 refunds and 0 tax demand, and proper sync on the taxpayer and 143(1) section columns?

Ans. No, you are not required to reply if everything is in line.


Q- Two months have passed since the e-verification of my ITR for 2018-19, but I have not received the Intimation 143(1). What should I do?

Ans. You can check your ITR status online or you can request for reissue of intimation online and you will receive it on your mail after request.


CA Abhishek Soni

Abhishek Soni is a Chartered Accountant by profession & entrepreneur by passion. He is the co-founder & CEO of Tax2Win.in. Tax2win is amongst the top 25 emerging startups of Asia and authorized ERI by the Income Tax Department. In the past, he worked in EY and comes with wide industry experience from telecom, retail to manufacturing to entertainment where he has handled various national and international assignments.