What Should I Do If I Received an Income Tax Notice?

You opened your email or logged into the portal, and there it is. A notice from the Income Tax Department, sitting in your inbox like it's been waiting for you.

First thing: breathe. Most notices are routine. The department processes crores of returns every year, and a fair chunk of them get flagged for something as boring as a mismatch between what you declared and what your Form 26AS shows. It doesn't automatically mean you did something wrong.

But it also doesn't mean you can leave it unread for a week. Every notice has a clock attached to it, and once that clock runs out, your options shrink fast. So here's exactly what to do, starting from the moment you see it.

Step 1: Read the Section Number Before Anything Else

The section quoted on your notice tells you everything about how serious it is and how much time you have. Don't skim past it.

• Section 143(1) — Intimation. This is the CPC telling you your return has been processed. Sometimes it just confirms your numbers match. Sometimes it shows an adjustment or a small demand. Not a scrutiny, not an accusation.
• Section 139(9) — Defective return. Something in your ITR is incomplete or inconsistent, like filing ITR-1 when you actually had capital gains, or missing a schedule. You get 15 days to fix it, or the return is treated as if you never filed at all.
• Section 142(1) — Inquiry. The Assessing Officer wants documents or clarification before finishing the assessment.
• Section 143(2) — Scrutiny. Your return has been picked for detailed examination. This one needs a proper response, not a quick reply.
• Section 148 — Reassessment. The department believes income escaped assessment in a prior year. This is the one to take seriously and act on immediately.
• Section 156 — Demand notice. Tax, interest, or penalty is now payable following an order.
• Section 245 — Refund adjustment. Your refund is being set off against an old outstanding demand. You get a chance to respond before it's adjusted.

If you're not sure which one you've got, that's a five-minute problem to solve, not a five-day one.

Step 2: Check the Deadline, Not the Notice Date

This is where most people slip up. They read the notice, understand what it wants, and then lose track of when it's due because they were busy that week.

A few numbers worth knowing for AY 2026-27:

• A 143(1) intimation must be issued within nine months from the end of the financial year in which you filed. For a return filed in July 2026, that intimation window runs up to March 2028, but once you receive it, your own response window is much shorter, usually around 30 days if there's a demand attached.
• A 139(9) defective return notice gives you 15 days to file a corrected return.
• A 143(2) scrutiny notice for AY 2026-27 can be issued up to three months from the end of the financial year in which the return was filed, so keep an eye out through mid-2027.
• A 148 reassessment case has its own show-cause step under Section 148A, where you typically get 7 to 30 days to respond before the department decides whether to proceed.

Miss the window and the department can move to a best-judgement assessment under Section 144, where they decide your tax liability without hearing your side. That's the outcome you want to avoid at all costs.

Step 3: Don't Reply From Memory — Reply From Documents

Whatever the notice is asking for, the reply needs to match what's actually in your AIS, Form 26AS, and your filed return. Guessing your own numbers, even innocently, tends to create a new mismatch on top of the old one.

Before you draft anything, pull together:

• Your filed ITR and computation
• Form 26AS and AIS for the relevant year
• Bank statements if cash deposits or high-value transactions are being questioned
• Investment proofs, rent receipts, or capital gains statements, depending on what's flagged

Once you know exactly what the notice is pointing at and what your own records say, the response almost writes itself.

Step 4: Reply Through the Portal, Not Over the Counter

Nearly all notices today are handled through faceless assessment. That means your reply goes through the e-filing portal under Pending Actions → e-Proceedings, not to a physical office. Upload your documents, submit your explanation, and keep the acknowledgement. If you genuinely need more time, you can usually request one adjournment, and it's granted more often than people expect.

What you shouldn't do is ignore it, hoping it resolves itself. It won't. And you shouldn't reply with a vague, generic explanation either, since a weak response on record can work against you later if the matter escalates.

Step 5: Know When to Get Help and When You Really Don't Need It

A 143(1) intimation that just confirms your return, or shows a small, correct adjustment, needs no professional help at all. Same with a straightforward 139(9) where you know exactly which schedule you missed.

Where it gets genuinely complicated is 143(2) scrutiny, 148 reassessment, large demands under 156, or anything involving capital gains, foreign income, or multiple notices for the same year. That's where a second pair of eyes, ideally someone who's dealt with dozens of these, actually changes the outcome.

This is exactly the gap NoticeSahayak.in was built to close. Most notice-response tools and services in India are built for tax professionals managing client portfolios, not for the individual sitting alone with one confusing PDF at 11 pm. Upload your notice, get a plain-language breakdown of what it means, what's at stake, and a ready-to-file response, without booking a consultation or explaining your situation to a stranger first.

The One Thing to Remember

An income tax notice is a conversation the department is trying to have with you. Respond on time, respond with your actual numbers, and most of these resolve without drama. The trouble only starts when a notice sits unread while its deadline quietly passes.

Frequently Asked Questions

Is it normal to receive an income tax notice? Yes. A large share of notices, especially under Section 143(1), are routine processing intimations and not signs of wrongdoing.

What happens if I don't respond to an income tax notice? The department can proceed with a best-judgement assessment under Section 144, calculating your tax liability without your input, and you may lose grounds to appeal certain issues later.

Can I correct my return myself after a 139(9) notice? Yes, for straightforward defects like a missing schedule or wrong ITR form, you can file the corrected return yourself within the 15-day window using the same utility.

How do I know if my notice is genuine? Genuine notices are visible under your login on incometax.gov.in in the Pending Actions or e-Proceedings section. If a notice you received by email or SMS doesn't appear there, treat it with suspicion.

Do I need a CA for every notice? No. Routine intimations and simple defective return notices can usually be handled without one. Scrutiny, reassessment, and large demand notices are where professional input matters most.