Here’s Everything You Wanted to Know about a Defective Return Notice

There may be an occasion when you receive a notice from the Income Tax (IT) Department stating that your tax returns are defective. For many, it’s a time to go down in shock of fear for they don’t know what it is and think the worst.

It’s not. This notice comes under Section 139 (9) of the IT Act. It’s sent when an IT officer considers your returns, defective. There are some reasons as to why the officer came to the conclusion and there are ways as well to rectify the situation.

Some of the reasons why you get this notice?

1. A taxpayer’s name on the PAN card should match the name on the Income Tax Return (ITR) Form or else a defective notice is sent.

 

2. When taxpayers fill the (ITR) form; many make mistakes while filling it up; a spelling error here, an extra number there. Such silly errors lead to many taxpayers receiving a notice under Section 139 (9).

 

3. When taxpayers fill up the forms, they mention all details of tax paid but forget to attach their sources of income; this results in a defective returns notice.

 

4. When a taxpayer maintains profit and loss statements, balance sheets but doesn’t attach them with the ITR; the IT department sends a notice

 

5. If a taxpayer submits ITR-4S even though the total presumptive income under Section 44AD is less than 8% of the gross turnover, a notice is sent. ITR-4 needs to be filed in this situation and not ITR-4S

 

A notice is sent. What now?

Once a taxpayer receives a notice from the IT department, he or she has 15 days to rectify the errors. However, one can write to the local assessing office seeking an extension.

How do you rectify the errors?

1. Visit the income tax website and login with your credentials
2. Go to the dashboard and click on the ‘My Pending Actions’ Link
3. There will be an option: For your action: Details of Defective Returns. Click on it.
4. You will the see the details of the return: notice date, CPC Reference Number, Status, and Response. Click on Response.
5. Go through the error code, error description, and probable resolution.
6. If you believe the defect mentioned are correct, select ‘YES’ from ‘Do you agree with a defect?’ drop down the list.
7. If you believe the defects mentioned are incorrect, select ‘NO’ from the ‘Do you agree with a defect?’ drop down the list and add you remarks in ‘Assesse Remarks’ box.
8. Choose the ITR form you need, revise it, and don’t forget to select the option ‘In response to a notice under Section 139(9) where the original return filed was a defective return. ’.
9. Enter the CPR number on the notice, date of filing of original return, and acknowledgement number.
10. Complete the ITR form and upload it on the website.

Getting a defective notice from the IT department can be a stressful time. Make sure you don’t face such a moment by consulting H&R Block, one of India’s leading tax preparation companies.