How do you respond to notice 154?

After this, you have to respond to the notice u/s 154 received by you. There would be two responses and you can tick on either one i.e. ‘Rectification Proposal Agreed’ or ‘Rectification Proposal Not Agreed’. You need to specify the reason for not agreeing to the rectification proposal by the Income Tax Department.

What is the meaning of section 154 of Income Tax Act?

rectification of mistakes
Section 154 of the Income Tax Act basically deals with the correction of any error that may or may not have occured in the income tax records of an individual. Section 154 of the Income Tax Act, 1961, pertains to rectification of mistakes in the income tax records or an order passed by the Assessing Officer.

What happens if you get notice from income tax?

When you receive any scrutiny related notice, the first thing you need to do is to check the validity of the notice and then respond to it accordingly in the specified time. If you fail to respond, the department can impose a penalty of Rs 10,000 according to section 272A of the Income Tax Act.

What is the time limit for filing rectification under section 154?

Section 154(8) lays down that the time limit for passing an order of rectification if application for amendment made by the assessee under section 154 is a period of six months from the end of the month in which the application is received by it.

Can appeal be filed against 154?

154 of the Act. The assessee cannot use proceedings u/s. 154 to file appeal against the order passed u/s.

What happens if you don’t respond to tax notice?

If you don’t respond to the tax notices within the time allotted, there can be various implications. “Non-compliance of a tax notice would attract penalty of ₹ 10,000 and may lead to judgement assessment by the tax officer,” said Agarwala. In some cases, “prosecution up to one year may also apply,” said Gupta.

Can appeal be filed against intimation u/s 154?

Any mistake which is apparent from the record in an order passed by the Assessing Officer can be rectified under section 154. Thus, option (c) is the correct option. Q2. Any mistake apparent from the record in any intimation passed under section 200A(1) can be rectified by the Income Tax Authorities under section 154.

How do I correct my income tax return?

Login to e-Filing portal by entering user ID (PAN), Password, Captcha code and click ‘Login’. 3 Post login, click on the ‘e-File’ menu and click ‘Rectification’ link. Select the ‘Order/Intimation to be rectified’ as ‘Income tax or Wealth Tax’ and then Select the ‘Assessment Year’ from the drop down. Click ‘Continue’.

How do I file a rectification under 154?

The process of making the online rectification request under section 154 to IT Department

1. A. Login to www.incometaxindiaefiling.gov.in.
2. B. From the drop down “Efile” select “Rectification”
3. C. Mention the credentials asked like.
4. D. Select the rectification request type.
5. E. Click on submit below the screen.
6. F.