The Income Tax Return (ITR) filing season has begun, and many taxpayers have submitted their ITR. At the same time, many employed people are still waiting for their Form 16. Typically, employers issue Form 16 to their employees by June 15, after which salaried taxpayers are required to file their returns. However, this time taxpayers have more time to file their returns.
The Central Board of Direct Taxes (CBDT) has extended the deadline for filing returns till September 31, 2025. But, does this extra time give you the freedom to be careless? Experts say that you should not wait for the last date to file returns at all, otherwise, you too may get an Income Tax Notice. Let us know in detail why this advice of experts is so important, what mistakes should be avoided while filing ITR, and what you should do when you get an income tax notice.
Possibility of mistakes if returns are filed in a hurry
Complete care should be taken while filing income tax returns. Information about every small and big income should be given in the ITR form. Despite this, if a notice from the Income Tax Department comes, one should not panic. Especially, if you have planned the income tax rules correctly, then you do not need to panic. Many taxpayers get stressed as soon as they receive an income tax notice and do not even try to know what is written in the notice. This can be a big mistake.
Most of the work of the Income Tax Department has now become digital
Experts say that in the last few years, the Income Tax Department has made most of its work quite digital. Now everything from processing of returns to refunds is done with the help of software. Scrutiny of ITR form is also done by software now.
Close watch on financial transactions
The income tax department now keeps a close watch on the financial transactions of taxpayers with the help of Form 26AS and AIS (Annual Information Statement).
Notice on Discrepancy
If the department finds any discrepancy in the financial transactions, income, or payment of the taxpayer, it can issue a notice to him on the basis of suspicion.
Getting a notice does not mean a crime
Getting a notice does not mean that the taxpayer has committed a crime. The taxpayer needs to understand that getting an income tax notice does not mean that you have committed a big scam. The Income Tax Department can send a notice and ask the taxpayer questions about any data. The taxpayer only has to answer the questions of the department. After being satisfied with the taxpayer’s answer, the department closes the case.
The department sends notices under different sections
The Income Tax Department issues notice to the taxpayer under different sections. For example:
Under Section 142(1): The Income Tax Department can send a notice for not filing an ITR. If it needs any additional documents from the taxpayer, it can also send a notice under this section.
Under Section 139(9): This notice is sent when the taxpayer uses the wrong ITR form to file the return or there is an error in the form.
What to do if you receive an Income Tax notice
Experts say that when you receive an income tax notice, you should first read it carefully and try to understand what is written in the notice. If a taxpayer is asked for any document or asked to answer a question, he must reply to that notice. Every notice is time-bound, so it is important to reply on time. If you do not understand what is written in the notice, you should immediately seek the help of a tax expert or a chartered accountant (CA). They will help you respond correctly and save you from potential troubles.