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Intimation under section 143(1) of Income Tax Act 1961

The last thing a taxpayer expects is any sort of communication from the Income Tax department! But one should remember that information from Tax department needn’t necessarily be a Notice or a Notice needn’t necessarily be asking you to appear or pay taxes. In this article, we have written about one such Intimation u/s 143(1) of Income Tax Act.

Under Section 143(1) the tax department completes the assessment without calling you to the department.  Based on the return filed by you, the department checks

  • The arithmetical errors in the return or
  • Any incorrect claim made.

So, the intimation u/s 143(1) will have two column, (a) the tax determined as per the return filed by you (b) the tax determined by the department after making any changes.

Done by the computer – All intimations u/s 143(1) is processed by the computer without any human interface. The software is designed to detect arithmetical inaccuracies and inconsistencies in the return and such software is placed at Central Processing Centre (CPC)

Stay cool So, don’t get upset (and shout at your service provider!) if you get an intimation u/s 143(1) wherein as per the computation of Tax department, you are asked to pay any taxes.  Generally, you will find that the Mismatch of taxes payable. We have to correct it by filing rectification.

Intimation received under section143(1) of Income Tax Act
Intimation received under section143(1) of Income Tax Act

 

If the Intimation u/s 143(1) doesn’t show any difference (or mismatch), keep this document along with a copy of Income tax return filed by you as proof of completion of assessment.

 

What should I do if no intimation is received?

The intimation shall be sent within one year from the end of the financial year in which the return is made. (Means for the Financial Year ending March 2014, you will get intimation on or before March 2016). If you haven’t received any intimation within this period, consider ITR– V (acknowledgment) of the return as deemed intimation.

 

What should be done in case of mismatch?

Intimation received under section143(1) of Income Tax Act showing demand or refund
Intimation received under section143(1) of Income Tax Act showing demand or refund

First ascertain whether refund due to you computed or arrived as per your claim. If no refund is claimed by you, ensure that “Net Amount Payable” is Zero .

If refund claimed by you matched with the income tax return filed by you or net amount payable is zero, no further action is required.

Read:Get answer to Income Tax Refund related queries

You can follow the steps mentioned below if you found discrepancies–

Step 1: compare two column, (a) As provided by Tax Payer in Return of Income (b) As computed under section 143(1) and check the difference, find out the reason for the difference.

If you are unable to identify, reason for the difference, you may please feel free to contact us at team@simplifiedlaws.com or comment in the comment section below.

Step 2: File online rectification application u/s 154(1) correcting the mistake appearing in the  intimation received u/s 143(1) (ReadWhat are the Steps involved in Filing Online Rectification?)

Step 3: After filing rectification u/s 154(1) login to ePortal of the income tax department and file online response  (Read : Have you checked your Outstanding Income Tax Demand appearing in e-Filing portal? to know how to submit online response to outstanding demand)

Step 4: File online grievances if you are not satisfied with processing of your return/rectification return by Central Processing Center (CPC) (ReadTax Payer can submit online grievance relating to CPC and efiling of Income tax Return)

Step 5: Even after Step 3 above  if you are not satisfied with the action taken by the CPC/AO, you have another option to file complaint to income tax ombudsman (Read : Do you know about Income Tax Ombudsman? to know more about step by step procedure to file complaint to Income Tax Ombudsman)

We would be glad to know your doubts or queries. In case you need our assistance in relation to Intimation under section 143(1) of Income Tax Act 1961 , please feel free to post your query on forum of our website

You can visit Refund/Demand/Rectification/Revised return section to read other articles

 

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About CA Prakash Chartered Accountant Bangalore

CA Prakash Chartered Accountant Bangalore
CA Prakash is a practicing chartered accountant and partner in Bangalore -based CA Firm. For further information or query, please email it to team@simplifiedlaws.com
  • Mala Saha

    I have received an intimation under Sec. 143(1) wherein they demanded Rs. 12110/- as tax payable. But I have submitted 10e for Rs. 10804/- under Sec. 89. What to do now?

  • http://taxheal.com/ CA Satbir Singh

    Thanks for sharing educative material on Intimation under income tax

  • Mohit Singh

    i am kamal singh i didn’t recive my income tax money in section ‘ return field under section 139(4) please help and tell me how handle this problem
    the timing to recive is date-07/10/2016

  • Sumit Bhatnagar

    i have received intimation U/S 143(1) wherein net payable tax shown is Rs. 10 only. Is it necessary to pay this amount or it can be ignored being a small value?

  • Nitin Dhadse

    dear sir,
    i have received Intimation U/S 143(1) of the income tax act,1961 for i was paid of Rs. 3421/- but by mistake PAN No. Wrong put up in challan and i was return filed.

    What should I do Sir? Please help!

    Thanks and regards.

  • RAJA RATNAM PUTTI

    Sir
    Its about my wife’s returns for AY 2015-16 under section 143(1) stating that TDS is 21,206 /- and tax payble 23,900 /- what am I supposed to do please advice

  • Roop kumar

    Dear Sir, I have received intimation under section 143 (1) for AY 2015-16 with the demand of Rs.37310.00. I have gone through & found that.. Relief u/s 89 not given by cpc. One of my friend told me about online Form-10E and same was filed too.. just few days before process of my such ITR. So why such demand created by CPC? I also want to know that how can such demand be rectify/dropped online.

  • Ajithaa Nalli

    Dear sir I have received intimation under section 143 (1). Please tel me what should I do now

  • Shrikanth

    Dear sir I have received intimation under section 143 (1). The refund as computed by department is 300 rs more than my returns filed. This is the interest portion on the refund. Should I refile the return or just wait for the refund. I checked the tin-nsdl website. My refund is not forwarded by the income tax department. Please tel me what should I do now. If I need to refile under what section should I refile

    • simplifiedlaws

      Hello Shrikanth

      You will receive refund by cheque or directly credited to your account with in 15 days from the date of processing your return by CPC. You don’t need to do any thing. Department will provide interest on refund amount @6% for delay in issue of of refund

      • simplifiedlaws

        You don’t need to do any thing, you will get refund automatically

  • Shrikanth

    Sir my refund as computed in intimation is more than my claim in income tax returns. What should I refile the returns or wait for refund. If I hav to refile then under which section I need to refile

  • Sameer N

    Hello Sir,

    I have received an intimation under 143(1) for AY 2015-16. On checking i found the problem due to an incorrectly quoted TAN for my TDS deductions of my non-salary incomes.
    (I entered the same TAN for both my entries)

    Can I merely do online rectification for this specific problem? .i.e choosing
    > Tax Payer correcting Data for Tax Credit Mismatch only
    and entering all my TDS deductions again.

    Or do I need to submit a new ITR?

    Thanks

    Sameer N

  • Prabhu

    Dear sir, received intimation for assessment year 2014-15 in February this year. All matches – there is no demand. But just 2 days back I received a mismatch mail. Checked online and found the mismatch is due to FD interest in 26AS. But this is for the same assessment year. Though intimation mention all OK, now I got mismatch mail. What can be done now? Is revise tax 139(5) possible? BTW only mismatch is reported no demand has been made yet.

    • simplifiedlaws

      You can file revised return u/s 139(5) even after receiving intimation u/s 143(1). There are few case law in support of this and efiling portal accepts revised return.

      if mismatch continues income tax department may take your case for scrutiny.

  • Gopinath R

    Sir, I have received intimation u/s 143(1) wherein it has been shown in the column total tax payable as zero. Whether I should file rectification ?

    • simplifiedlaws

      Hello

      I don’t need to do anything. Keep intimation received u/s 143(1) in your record.

  • bala murali

    Sir,

    In the refund rows, In the return filed by Tax payer is shown as NA, As Computed Under
    Section 143(1) is 0.

    What should i do? Net amount payble is 0 in both cases.

    • simplifiedlaws

      You don’t need to do anything. Your tax return is accepted by income tax department without any deviation . Keep intimation received u/s 143(1) in your record.

  • Yogesh

    Hello Sir,

    Couple of days back I received an intimation u/s 143(1) for itr 1 (AY 2015-16) for a amount 6040/- and also Income tax refund status is showing that refund has been processed and sent to refund banker but I did not received any amount in my account. Where Can I check whether I submitted correct bank details to Income tax department. It is not mentioned in ITRV form as well I could not find bank account details in Income tax department website also. Please suggest me where to check the details and how much time it take to get refund credited in bank account.

    • simplifiedlaws

      Visit https://tin.tin.nsdl.com/oltas/refundstatuslogin.html to check status of your refund. To find out details of bank account mentioned in the return, login to your account in the income tax website and download ITR return where in you will get the details.

  • Mallesh

    Dear Sir / Madam,

    I have Outstanding Tax Demand for AY 2012-13.

    Background: I have submitted tax return within the time of AY 2012-13. That period I changed (Mid of June) the company, so I have two TAN numbers (old & new Companies) for AY 2012-13, but I
    ​ filled​ the current
    ​ (New)​ company TAN number at the time of e-file. After one year I received a Demand note from Income Tax Dept., So, revised tax returns submitted with the same mistake.

    When I checked in TDS
    ​ Form 26AS
    ​, I found my mistake as below

    Submitted Tax E-File in TDS Section

    New Company Name TAN No_2 18,000/-

    It should be:

    Old Company Name TAN No_1 2,700/- (worked for 2 months)
    New Company Name TAN No_2 15,300/- (worked for 10 Months)

    ​​

    ​Yesterday tried to submit
    ​the revised return for AY 2012-13​, but I am getting the error that submission date
    ​ is​ over.
    ​Contacted customer care team, they said ”
    one rectification is pending (since Oct-2013), once it’s closed then only you can re-submit the return
    “.

    ​Please requesting you to provide inputs, how to close Outstanding Tax Demand at the earliest. This mistake happened because of poor knowledge on TDS section. Other financial years returns ​went very well.

  • Ashutosh

    Sir,
    I just received an intimation u/s 143(1) for itr 1 (AY 2015-16) for a amount 7520. This is the amount that I had claimed as as relief u/s 89(1). The said amount was also reflected in my Form 16, as generated by my employer. I had filed ITR 1 on Aug, 23. I had uploaded Form 10E on September, 16 of 2015. What should I do? Please advice urgently.

    Regards.

    • simplifiedlaws

      We can suggest remedial action only of you send intimation received by you along with copy of income tax return. You can send details to team@simplifiedlaws.com

  • Lingaraj Hadimani

    Dear Sir,

    Yesterday I have received INTIMATION U/S 143(1) OF THE INCOME TAX ACT, for the ITR-1 I had filled for the Assessment year 2013-14. The net amount payable is RS 7,390/-. However, when I checked in detail, I found that I had chosen a wrong assessment year while filing the ITR.

    Instead of choosing the 2014-15 as a assessment year, mistakenly I chose 2013-14 and filed the ITR, because of which there is a difference in the TDS calculted.

    So I request you to guide me to rectify this problem at the earliest.

    Thanks in advance.

  • Pankaj

    Sir, I received the intimation with below details. What should I do in this case ?

    • pathardepavan

      I too got a similar response. NET Amount Payable Rs 4[143(1)]. What shall i do ?

      • simplifiedlaws

        If amount payable is less than Rs. 100/- you don’t need to pay. you can keep intimation in your record for future reference.

    • simplifiedlaws

      You don’t need to do anything. Your tax return is accepted by income tax department without any deviation . Keep intimation received u/s 143(1) in your record.

  • Alkesh Mandaliya

    Hi Team,
    I have got outstanding tax demand for 4400/- for the A.Y. 2009-10. I come to know the outstanding demand on income tax portal. I had not received intimation u/s143(1) for the same. Return file manually at that time. When I refer the return documents I come to know that there is error during return file, I forgot to include the amount of interest paid by me for my housing loan in the return filing but same is reflected in form 16. I also have proof of interest paid to bank during A.Y. 2009-10. Now question is that can I rectify my return file after 6 years? or paid the demand amount?
    If need to pay demand amount then in which code it can be pay though e-pay. Pl. guide.

  • Arun kumar

    I have received Rs.946 as refund as against Rs.1000 which I had claimed. I am however satisfied with the computations. Should I still need to file a rectification under section 154(1)?

    • simplifiedlaws

      No need to file rectification if you are satisfied with the intimation u/s 143(1) received by you.

  • ViPiN KuMaR

    Sir
    I have got a tax demand for Rs.9880 for the A.Y 2009-2010. I paid the amount on line . When i checked the status after 5 days a fresh demand is raised for Rs. 5390 under section 220(2) for the same A,Y . what should i do?

    • simplifiedlaws

      Refer to sec 220(2) of income tax Act which is reproduced below. Dept has levied interest on delayed payment of tax due.

      220(2) If the amount specified in any notice of demand under section 156 is not paid within the period limited under sub-section (1), the assessee shall be liable to pay simple interest at 6[7[one] per cent for every month or part of a month comprised in the period commencing from the day immediately following the end of the period mentioned in sub-section (1) and ending with the day on which the amount is paid :]

  • Manvender singh

    Sir can you please tell if the refund has been received by me against the original return is it possible for me to file the revised return?

    • simplifiedlaws

      You can file revised return even after receiving Intimation u/s 143(1) of Income Tax Act Provided time limit for filing revised return u/s 139(5) of income Tax Act is not over ie. Ex for the financial year 2013-14, you can file revised return before 31st March 2016

  • premi24b

    sir, if intimation u/s 143(1) has been received and assessment is completed,can department send notice u/s 143(2) for scrutiny.

    • simplifiedlaws

      Intimation u/s 143(1) will be sent after processing of income tax return. Everyone receive notice under this section immediately after their return get processed. If your case is selected for scrutiny you will receive separate notice u/s 143(2).