Essential Examination: Evaluating Your Filed Income Tax Return Intimation

It has become easier to deal with taxes and returns through tax preparation software for accountants. Accountants now prepare the income tax return (ITR) very conveniently, and taxpayers even get an intimation notice from the Income Tax Department without any complications. Intimation notification notifies taxpayers under section 143(1) of the Income Tax Act whether the tax department's records and ITR computation correspond. The message enables the taxpayer to verify the status of refunds or requests by sending it to the email address they registered with. This is a prima facie check, and the department may send a notification by the applicable Act provision if more information is found. You may get a thorough explanation of the same on this blog.

Intimation Under Section 143(1) Of Income Tax Act

A computer-generated automated message through tax prep software for accountants notifies taxpayers of any irregularities in their tax filing and any interest that may be owed under Section 143(1) of the Income Tax Act, 1961. A notification from the Income Tax Department might be relieving even though it can also be daunting. Certain letters, like those about tax refunds, are more of an official declaration of the facts, having no bearing on the situation. Email notifications are delivered by section 143(1) within a year of the financial year the return was submitted.

• What Is Intimation U/S 143(1)?

The information provided to the tax department and considered by the department in processing the tax return is compiled in the Intimation under Section 143(1). It contains information on the assessee, the tax computed under section 143(1), the refund sequence number, and other facts about filing income taxes, including the acknowledgement number and filing date.

• When Does One Receive An Intimation Under Section 143(1)?

One Receives an Intimation under Section 143(1). If the tax department's assessments agree with your income information, deductions, and tax computations, you will get an intimation notice under Section 143(1). In that case, the message indicates no tax due or refund. There is an extra tax demand if you have misclaimed a deduction or have not included a specified income in your Income Tax Return (ITR). A tax refund is owed if you have paid more in taxes than you owe. To comprehend the notification, it is essential to comprehend the income tax department's evaluation of your ITR.

Till When Can I Receive Intimation U/S 143(1)?

Up to a year following the conclusion of the fiscal year in which the return is submitted, notification may be obtained. For instance, the intimation period is until March 31, 2024, if the return for 2021–2022 was submitted on June 18, 2022. The response must be sent within the allotted period to prevent legal issues.

What If No Intimation Is Received Till The Expiry Of One Year?

Your income tax return must be handled by the tax department within a year after filing, which means that the FY 2019–20 return must be completed by March 31, 2022. You can use the e-filing website to raise a grievance if your return is not processed. You can submit a service request on the e-filing website if your ITR has been processed but cannot locate the notification notice. If you do not get an acknowledgement within a year after the end of the fiscal year in which you filed your return, your ITR-V acknowledgement will be regarded as your notification.

How Is The Intimation U/S 143(1) Received?

The necessary information about how the notification is received is as follows:

- There is a notification in your registered email address.

- This email address is the one you used to register on the income tax website and electronically file your income tax returns.

- These emails are being sent by the Central Processing Centre (CPC).

- [email protected] is the sender ID.

- A text message is also sent to the recipient's registered cellphone number.

What Is The Password To Open Intimation U/S 143(1)?

The notification email is password-protected. The password is your date of birth and your PAN, both in lowercase, to access the message you got. For example, if your date of birth is January 1, 1990, and your PAN number is AAAAA0000A, the password to access the document is aaaaa000a01011990.

How To Deal With Intimation?

Verify the correctness of the intimation notice's personal information, including name, address, and PAN. The next step is to compare the department's computation with the income tax computation in your ITR. The notification notice will show tax information, tax due, tax relief, interest, late filing costs, and total income tax liabilities. There can be a difference between the taxable income determined by the tax department and what you have reported in your ITR if there is a mismatch in income under a head, an inaccurate deduction amount, or an arithmetic error. Refunds or further tax payments may follow from this. The intimation message will indicate if a refund is due.

Conclusion

Anyone who submitted their return before the deadline may get a notification or intimation from the income tax department. Notifications provide an overview of the return processing result and might not need further action. Conversely, notices demand a response. The Centralized Communication Scheme (CCS), which progressively converts all communications to electronic form, has been announced by the Central Board of Direct Taxes. It's crucial to resist falling for emails or SMS that demand bank account information to obtain an income tax refund. The income tax department will just tell you the refund has been completed; no bank account information will be requested. The money will be immediately sent to the bank account shown on your ITR.