section under 143(1) of income tax act


section under 143(1) of income tax act

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Intimation under Section 143(1) is an auto-generated letter by the computers of the Income Tax Department without any human interference.Intimation under Section 143(1) is sent only in the following 3 cases:-

 Intimation under Section 143(1) is only an Intimation and not a Scrutiny/ Assessment Order. Intimation under Section 143(1) is an auto-generated letter by the computers of the Income Tax Department without any human interference.

Intimation under Section 143(1) is sent only in the following 3 cases:-

  1. Where any tax or interest is found payable on the basis of the return after making adjustments referred to in Section 143(1) and after giving credit to the taxes and interest paid; or
  2. Where any tax on interest if found refundable on the basis of the return after making adjustments referred to in Section 143(1) and after giving credit to the taxes and interest paid; or
  3. Where adjustments referred to in Section 143(1) have been made resulting in increase/ reduction of loss declared by the assessee and no tax or interest is payable by the assessee and no tax or interest is refundable to the assessee.

The maximum time period for sending intimation under Section 143(1) is 1 year from the end of the financial year in which the income tax return is filed.

ADJUSTMENTS TO BE MADE UNDER SECTION 143(1)

The total income or loss shall be computed after making the following adjustments:-

  1. Any arithmetic error in the return
  2. Any incorrect claim apparent from any information in the return shall mean a claim on the basis of an entry, in the return of an item:-
    • which is inconsistent with another entry of the same or some other item in the income tax return.
    • in respect of which, information required to be furnished to substantiate such entry, has not been furnished under this Act.
    • in respect of which a deduction, where such deduction exceeds specified statutory limit which may have been expressed as monetary amount or percentage or ratio or fraction.
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      How to deal when you receive Intimation under Section 143(1)

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