Tax Notice
If you've filed your income tax returns promptly, it can be unsettling to receive a notification or notice from the income tax department afterward. Understanding these communications is crucial. First, distinguish between an 'intimation' and a 'notice.' An intimation merely communicates the results of your return processing or assessment's conclusion, often requiring no immediate action. Conversely, a notice demands your attention and action. The Central Board of Direct Taxes (CBDT) has introduced the Centralized Communication Scheme (CCS), emphasizing electronic communication. Starting from October 1st, 2019, every correspondence from the Income Tax Department (ITD) will include a unique Document Identification Number (DIN). Let's delve into the various notices and intimations from the income tax department, ensuring you can navigate them with confidence.
You may be surprised to receive an intimation/notice from the income tax department even if you have filed your income tax returns within the due date. You would not be sure about what it is and how to respond to it. Dont worry, we will break it down for you to help you understand your notices in detail.First and foremost, it is important that you understand the difference between an intimation and a notice. There is a very thin line of difference between the two. Intimation is to highlight the outcome of the processing of your return or conclusion of assessment, and you may not be required to act upon it (although there are a few exceptions to it).However, when you receive a notice, it requires you to act on it. Recently, the Central Board of Direct Taxes (CBDT) has notified a new scheme known as Centralized Communication Scheme (CCS). The scheme states that, gradually, all communications will happen in an electronic mode.Every communication by the Income Tax Department (ITD) on or after 1st October 2019 shall bear a unique Document Identification Number (DIN) Let us understand various notices/intimations issued by the income tax department and how to authenticate them.