TAX & ROC

To run a company, you need to adhere to statutory compliance. Therefore, annual compliance for businesses are needed to be filed before their due date. Taxcomate is a team of business compliance experts who can you.

Income tax Notice Compliance

Income tax Notice Compliance

  • Overview
  • Points to remember
  • Process
Income tax notices are sent by the Income Tax Department for various reasons like not filing income tax return, defect in filing of tax return or other instances where the tax department requires additional information or documents. On receiving an income tax notice, there is no reason to be alarmed or frightened. However, the taxpayer must take steps to understand understand the nature of notice, the request or order in the notice and take steps to comply. Taxcomate offers a comprehensive suite of services for families and businesses to help them maintain their tax compliance. In case you receive an income tax notice, get in touch with a Tax Expert at Taxcomate to better understand the income tax notice and determine a course of action. You can send a copy of the tax notice and question to Taxcomate. Our Tax Experts can then advice you on the type of notice received and provide support in helping you comply with the tax notice or order.   1. Income Tax Department Issues notices on non-compliance with tax law. The reason can be an error in filing original return, non or short payment of tax, non-filing or late filing of return among others. This plan is tailor-made to help you understand the notice issued under section 139(9), 143(1), and advise you on how to respond to the issue raised. A tax expert having expertise in the field shall be allocated to your order who shall help you sail through the process.   2. Services Covered
  1. Covers notices under Sections 139(9),143(1), 143(3), etc
  2. Validate Notice using Taxcomate software
  3. Expert Advisory on notice response
  4. Documented Follow-up
  5. Business hours -CA support
  6. Revised Return Filing for notice received under Sections 139(9), 143(1), 143(3), etc
  3. Who Should Buy
  1. Any individual assessee who has received any notice under the Income Tax Act.
  4. Documents To Be Submitted
  1. Tax Notice
  2. Form 16 from your company
  3. Form 26AS Tax Credit Statement
  4. Copy of tax challan (if paid)
  5. Supporting documents (if any)
  6. Type of Notice

Frequently Asked Questions

Under Section 143(1) the tax department completes the assessment based on the return filed by you. It is an Income Tax Intimation telling you how your income tax return has been processed by the CPC, Bangalore.

Such intimation usually contains the following:

    • a notice of demand (or)
    • a refund notice(or)
    • a statement showing a no refund – no liability state where all your income reported is equal to the income assessed by the Income Tax Department.

The department here checks

    • The arithmetical errors in the return or
    • Any incorrect claim made.

If there is any error found by the system, you need to respond accordingly. Our experts will help you understand the issue raised by department and respond to notices under other sections too such as 139(9),143(1),143(2), 154, 156 etc of the Income Tax Act.

After having filed ITR many people receive notice from the department saying , Defective return u/s 139(9).This happens when some information is missing, there is a mistake. This means that the return filed is defective. Our experts will help you understand the issue raised and advise you on right course of action.

NOTE: IF ANY RETURN/RECTIFIED RETURN IS TO BE FILED AS PART OF RESPONSE TO THE NOTICE THE SAME SHALL NOT BE COVERED UNDER THE PLAN. OUR CUSTOMER SUPPORT WILL ADVISE YOU ON BUYING CA ASSISTED FILING PLAN BASED ON YOUR CASE.

This plan is designed to help you understand the issue in the notice raised by the tax department. The expert will help you validate the notice and advise you on next step to be taken. In case if you need to file any return or rectified return as response to notice received, our customer support will help you choose the right CA assisted tax return filing plan based on your case.

In most cases the notice is raised on account of mismatch between tax payable as per department and tax actually paid. Our experts will help you compute the correct tax liability and pay(if any) or claim refund as applicable.

The notice management is a fully online process. The advisory on response to the notice will be carried out online without you having to be physically present during the process.

In certain assessment cases you need to be present in front of the Assessing officer. Our experts will only guide you how to go about such cases and shall not be present on your behalf. In case you need local assistance then we shall try to connect you to one of our elite member tax expert upon his availability. The Charges shall be paid to the consultant and shall not form part of the plan.

Taxcomate has been ranked as the best tax website and trusted by over 1 million+ Indians who have been doing their taxes on the platform. Taxcomate taps into its wide network of over 2000 Chartered Accountants who bring years of experience in handling tax assessment cases and helping become tax compliant. Once you upload the notice, an expert will be assigned to your case. Share the documents as communicated and get your dedicated CA who will provide you online support on steps to be undertaken or actionables

Apart from the documents listed above, following information needs to be shared:

  • All Bank Balance as at March 31 2016
  • Estimated Cash as on March 31 2016
  • Details of Assets as on March 31 2016
  • Details of Investments (Cost) as on March 31 2016
  • Details of Outstanding Loans granted as on March 31 2016
  • Details of Outstanding Loans received as on March 31 2016
  • Details on any liability existing as on March 31 2016

Taxcomate has been ranked as the best tax website because of its unique tools and solutions. The aim is to simplify the financial lives of people. Key features:

  • Automatically identify issues in your notice using Taxcomate Notice Parser
  • Completely Online Process-Upload Notice, share Documents and get CA assistance
  • Wide Network of Expert Tax Advisors

Points to remember while filing ITR

While filing the ITR, salaried persons need to keep several points in mind. According to Mittal, salaried persons should take care of following factors while filing ITR:

  1. Who should file ITR: In case the gross total income of an individual exceeds Rs 2,50,000 in the FY, subject to certain conditions, then he will be mandatorily required to file an income tax return. The limit is Rs 3,00,000 for senior citizens (Age: Between 60 – 80 Yrs ) and Rs 5,00,000 for super senior citizens (Age: more than 80 Yrs ). Further, if an individual wants to avail of any tax refund or has any assets outside India or wants to carry forward a loss under any head of income he will be required to file ITR.
  2. Choice of Right Form: The income tax department primarily provides the following for filing Income Tax Return viz., (1) ITR 1- is to be filed by a salaried individual, whose total income (including salary income and income from other sources) does not exceed INR 50 lacs. Further for filing ITR 1, the individual should not have more than one house property and his income from agriculture should not exceed INR 5000. (2) ITR 2- is to be filed by an individual if he has income from salary, more than one house property, income from capital gains and income from other sources (not having income from profits and gains of business or profession ).(3) ITR-3- is required to be filed by an individual if the individual has income from salary, house property, income from business or profession, capital gains and income from other sources. Therefore the individual is required to be very clear about the Form applicable for him.
  3. Tax Deducted at Source (TDS): TDS is deducted by the employer, bank. It can be checked by the individual on the website of TRACES. The salaried individual should make sure that the complete details of TDS deducted are getting reflected in 26AS as if the same is not getting reflected then the number of TDS being claimed may get disallowed.
  4. Submission of correct proofs: The person concerned should have genuine proofs of the amounts being claimed by him as a deduction for Eg: Rent receipt in case of claiming of HRA, health insurance premium paid, details of investments in mutual funds, home loan, life insurance, etc. the amount of Deductions and Investments declared to the company must have correct documentary proofs. As the claiming of deductions by furnishing wrong information might lead to a penalty ranging from 50% to 200%.
  5. Right Investment Planning and claiming of deductions under relevant sections: An individual should be very vigilant while making investments and should understand that each section has a specific limit up to which the deduction can be claimed. Eg: If the person pays life insurance premium, deposits money in provident fund and superannuation fund, mutual fund, repays housing loan (principal amount), etc. then he can claim deduction only up to the limit of Rs1,50,000, any excess investment made under the section cannot be claimed as a deduction. To claim a higher deduction from tax, he should invest in other sections. For example, Investment in the National Pension System, subject to the specified conditions, can allow him to claim additional deduction up to Rs 1,50,000.
  6. Disclosure of income: An individual should make proper disclosure of income while filing the ITR earned from various sources, including income from business or profession, capital gains, any prize or lottery or rental income from house property, etc. Any interest from the Saving Bank Deposit, Recurring Deposit, Fixed Deposit, or income from any other source like capital gains, etc. should be duly reported in the Income Tax Return. Any concealment of income or understatement of income may lead to a penalty of 50% of the tax to be paid and in case of any misreporting 200% of the tax is payable.
  7. Filing of Return within due date: Non-filing of Income Tax return within the due date may attract a penalty of Rs. 5,000 or more and interest at the rate of 1% on the outstanding amount of tax. Further, the individual may also lose the benefit of a set of losses if any.
  8. Furnishing Updated Particulars: The personal details such as PAN no., bank account, Email ID, and contact no. should be correctly mentioned. In case the details have changed over a period of time then the same should be updated, as one would receive the refund if any, in the bank account, the details of which have been furnished (so in case the previous bank account is changed, the refund amount will bounce), further all information as to the status of ITR will also be sent on the email id and phone no. provided.

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Income tax Notice Compliance Registration

₹899.00

To make tax compliance easier, the income tax department has categorized taxpayers into many groups based on income and its source. So, you need to file your returns accordingly. Registers with Income tax Notice Compliance plan and enjoy the benefits

Benefits of filing Income TAX Returns ?

  • Avoid a maximum penalty of Rs 10,000, if your total income exceeds Rs 5 lakh.

  • Taxpayers are often served notices from the IT department for delayed & missed return submissions.

  • Most embassies and consulates require you to submit IT returns for the last 3 years.

  • You can carry forward losses against house property and depreciation.

  • Your Tax Return documents are proof of your financial investments and will be useful when you apply for a loan

  • You can claim tax refund; the earlier you file the sooner you will get the refund.