- Fear of getting notice even if ITR is filed?
- Summons are sent by the Income Tax Department for 'these' reasons
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Income Tax Notice Reasons: Many taxpayers file their ITR before the due date and think that they are free from the tax process. However, Income Tax Department notice is issued even if returns are filed on time. While your ITR must be filed on time, the department also verifies the information in your return with data from various sources. If any discrepancies are found, taxpayers may seek clarification. (Income Tax Notice Reasons)
The Income Tax Department compares the income declared in ITR with Form 16, AIS, TDS entries and other information. If a discrepancy is found, those who have filed returns on time may also receive a notice. What are the circumstances under which you may get notice even if you file ITR on time?
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1. Differences between income and department records
One of the most common reasons for receiving a notice is income disparity. If the salary mentioned in your ITR is different from the salary mentioned in the employee's Form 16, the department may ask you the reason behind the discrepancy.
2. Errors in TDS
If the TDS credit you claimed in your ITR appears different from the information in Form 26AS or the records of the department, you may receive a notice. This may happen when your TDS return is not filed correctly, there is a mistake in it, or it has been amended later and the data is not yet updated in your records. Hence, it is very important to check the tax details in Form 26AS and AIS before filing your ITR.
3. Improper deductions or discounts
Even after filing your ITR on time, if you have claimed wrong deduction or exemption, the department may seek clarification. For example, if you claim a deduction but don't have the necessary documentation or qualifications to support it, the department may question that claim. Additionally, selection of wrong ITR form or providing incomplete information may also result in notice.
What to do if you receive a notice?
If you receive a notice from the Income Tax Department, there is no need to panic. First verify its authenticity by checking the notice on the official e-filing portal of the Income Tax Department. Then, carefully read the reason mentioned in the notice and determine what information the department has inquired about.
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