How to reply to an income tax notice: first verify it through its Document Identification Number (DIN) on the e-filing portal, then read what it asks and by when, collect your return, Form 168 (old Form 26AS), AIS and supporting papers, and reply online under “e-Proceedings” within the time given, which is usually 30 days for a proposed adjustment and 15 days for a defective return notice. Most notices today are automated data mismatches that close with a short, documented reply. The real danger is not replying at all.
| Point | Position |
|---|---|
| Is it genuine? | Check the DIN with “Authenticate notice/order issued by ITD” on incometax.gov.in |
| Where to reply | e-filing portal: Pending Actions, then e-Proceedings (or the compliance portal for e-campaigns) |
| Proposed adjustment on processing | Reply within the time given, usually 30 days |
| Defective return | Cure within 15 days unless extended (s.263(7) of the 2025 Act; s.139(9) of the 1961 Act) |
| Reassessment | Show-cause (s.281, old s.148A), then notice (s.280, old s.148): take professional help |
| Documents | Return, computation, Form 130/131 (old 16/16A), Form 168, AIS, bank statements, deeds, invoices |
| If the order is wrong | Rectification, or appeal to the Commissioner (Appeals), then the Appellate Tribunal |
How to reply to an income tax notice, step 1: check it is genuine
Fake tax “refund” and “penalty” messages are a common fraud. Before you do anything:
- Every genuine communication from the department carries a DIN. Enter it in the “Authenticate notice/order issued by ITD” service on the e-filing portal.
- Log in to the portal yourself (do not click the link in the message) and check Pending Actions and e-Proceedings. Genuine notices appear there.
- Never pay through a link in an SMS, email or WhatsApp message. Tax is paid only through the portal’s payment system or authorised banks.
- Report a fake notice on helpline 1930 or cybercrime.gov.in (see cyber fraud: the first hour).
Step 2: identify the type of notice
Notices about 2025-26 and earlier years can still quote 1961 Act sections such as 143(1)(a), 139(9) or 148, even though the 2025 Act applies from 1 April 2026. Read the year and section on the notice.
| Point | Position |
|---|---|
| Proposed adjustment while processing | A mismatch with Form 168 or the AIS, an arithmetic error or a claim not allowed. Agree, or disagree with reasons and documents, within the time given |
| Intimation after processing | Shows no demand, a refund or a demand. Compare with your computation; seek rectification online if there is a mistake |
| Defective return | Essential details missing or inconsistent. Correct within 15 days or the return can be treated as invalid |
| Scrutiny notice | Return picked for detailed, mostly faceless assessment. Reply with documents, ideally with a CA |
| Reassessment show-cause and notice | Information suggests income escaped assessment for an earlier year. Reply with evidence; get professional help at once |
| Compliance or e-campaign message | High-value transactions in the AIS or a missing return. Respond on the compliance portal; file or update the return if needed |
| Demand notice | Tax, interest or penalty payable under an order. Pay, or appeal and seek a stay; never ignore |
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How to reply to an income tax notice: the method
- Read the whole notice. Note the year, section, what is asked and the deadline.
- Collect documents listed in the table above, as relevant.
- Find the cause. The usual culprits: FD or savings interest not reported, a share or mutual fund sale reported only by sale value, TDS claimed in the wrong year, or a deduction such as old 80C claimed while filing under the new regime.
- Decide. If the department is right, accept and pay. If it is wrong, disagree briefly and attach proof.
- Reply online and on time. Submit through e-Proceedings, save the acknowledgement, and if you genuinely need more time, ask for an adjournment in writing on the portal before the deadline.
Example: Vikram, a pharmacist in Nagpur, gets a proposed adjustment adding ₹1,85,000 from the AIS as “sale of securities”. He checks: that is the sale value of mutual fund units bought for ₹1,70,000. His actual gain of ₹15,000 is already in his return. He disagrees online and attaches the fund house’s capital gains statement. The adjustment is dropped.
Mistakes when deciding how to reply to an income tax notice
- Ignoring it. The department can then proceed on the information it has.
- Replying without evidence. “This is wrong” achieves nothing. Attach the statement, deed or certificate that proves your point.
- Sending AIS feedback only. Give feedback on a wrong AIS entry and also attach it to your reply.
- Handling serious notices alone. Scrutiny, reassessment, cash deposits, unexplained investments, property deals, penalty or prosecution: take a chartered accountant’s help, and a tax lawyer for prosecution or litigation.
If the final order goes against you
For a mistake apparent from the record, such as a TDS credit not given, apply for rectification online. For a dispute on facts or law, appeal to the Commissioner (Appeals) or Joint Commissioner (Appeals), and then to the Income Tax Appellate Tribunal. Appeal time limits are short, so act as soon as the order arrives, and ask about a stay if the demand is large.
Frequently asked questions
How to reply to an income tax notice online?
Log in to the e-filing portal, go to Pending Actions and then e-Proceedings, open the notice and choose to submit a response. Select whether you agree or disagree, explain briefly, attach documents in the permitted format and submit before the deadline. Download the acknowledgement for your records.
How do I know if an income tax notice is genuine?
Every genuine notice carries a Document Identification Number (DIN), which you can check with the “Authenticate notice/order issued by ITD” service on incometax.gov.in. A genuine notice also appears in your own login under e-Proceedings. Never pay through a link received by SMS or email.
What happens if I don’t reply to an income tax notice?
The department can complete the proceeding on the information it already has, which usually means the proposed addition or demand becomes final. Penalties may also follow for non-compliance. Replying late but before the order is passed is still better than not replying.
How many days do I get to reply to an income tax notice?
It depends on the notice. A proposed adjustment during processing usually allows 30 days, and a defective return notice 15 days, extendable on request. Other notices state their own deadline, so read the date on the notice itself.
Quick quiz
Q1. What should you check first to confirm a notice is genuine?
- The sender’s mobile number
- The Document Identification Number (DIN)
- The officer’s signature
- The payment link
Show answer
Answer: B. Every genuine notice has a DIN, verifiable on the e-filing portal.
Q2. Under the Income-tax Act, 2025, which section deals with the show-cause stage before reassessment?
- Section 280
- Section 281
- Section 263
- Section 148
Show answer
Answer: B. Section 281 replaces old s.148A; s.280 is the reassessment notice.
Q3. Within how many days must a defective return usually be cured?
- 7 days
- 15 days
- 30 days
- 90 days
Show answer
Answer: B. 15 days, extendable on request (s.263(7) of the 2025 Act).
Know how to reply to an income tax notice, and how to avoid one: New Income-tax Act 2025 and GST Basics certificate course (a certificate of completion, not a professional qualification).
Sources
- Income-tax Act, 2025: s.263(7) (defective return), s.280 (reassessment notice), s.281 (show-cause before reassessment)
- Income-tax Act, 1961: ss.139(9), 143(1)(a), 148 and 148A (for earlier years, through the saving provisions)
- Income-tax Rules, 2026 (Form 130, Form 131, Form 168)
- Income Tax Department e-filing portal: notice authentication (DIN) and e-Proceedings services
This page is for education and general information, not tax or legal advice for a specific case. For your own notice, consult a chartered accountant. Law as on 31 October 2026.
Useful books for this topic
- Bare acts of the new criminal laws (BNS, BNSS, BSA)
- Code of Civil Procedure bare act
- Legal drafting and conveyancing books
- Constitution of India (coat pocket edition)
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