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Defective return notices under Section 139(9) are issued when an income tax return contains missing information, incorrect details, or mismatches that prevent accurate processing by the Income Tax Department. These defects often involve incorrect bank account entries, wrong ITR forms, unreported income, or discrepancies with AIS/TIS and Form 26AS. The notice outlines the error and provides a window to correct and resubmit the return. Resolving these issues quickly helps avoid

Small business owners often face income tax notices because of mismatched books, incorrect ITR forms, and gaps in AIS or TDS data. A clear system for recording business transactions, reconciling income, and selecting the right return form significantly reduces these triggers. Accurate books support proper deductions, while digital tools streamline tasks like AIS matching and advance tax calculation. TaxBuddy improves this process with automated form selection, real-time reco

Introduction It might be frightening to get an income tax notice, particularly if you're not familiar with the procedure. However, in order to prevent penalties or legal repercussions, it's imperative that you respond to these notices precisely and soon. For the government to ensure tax compliance and revenue collection, the Income Tax Department of India is essential. They may send different notices to taxpayers as part of their duties, asking for more details, providing cla

Introduction Making mistakes when filing your income tax returns (ITRs) is a typical occurrence. In these cases, the income tax department sends out letters to fix the mistakes. There are numerous reasons why income tax letters are sent out, and each one calls for a unique answer. Income tax notices might be sent to you via email or the mail, but you have to respond to them in a certain way. For a variety of reasons, including incomplete or delayed ITR filing, unpaid self-ass

Income tax notices can unsettle even the most diligent taxpayer. With AI-powered platforms transforming routine filing, many assume the same technology can manage notices. The reality is different: responding to notices requires interpretation of the Income Tax Act, 1961, awareness of the latest amendments, and professional judgment that AI cannot replicate. Understanding why technology falls short in this area helps taxpayers avoid penalties and handle notices effectively. T

Introduction It is usual for married couples to switch cash, but doing so without considering the tax implications may draw unwanted attention from the Income Tax Department. The Indian income tax regulations do not explicitly prohibit cash transfers between spouses . However, there are some special requirements and criteria to be aware of. While these transactions may not directly generate tax liabilities, a lack of awareness can cause financial problems. According to tax ex

Introduction The Income Tax Department has intensified its examination of individuals who transfer large sums of money overseas. The department is thoroughly reviewing Form 15CC, a quarterly disclosure statement submitted by Authorised Dealer (AD) Banks for foreign remittances, due to inconsistencies between reported income and foreign payments, raising concerns about possible tax evasion. Problems with tax deducted at source (TDS) on outbound remittances have been recognise

Section 143(1) of the Income Tax Act pertains to the preliminary processing of Income Tax Returns (ITRs) filed by taxpayers. It is often the first stage in the tax assessment process where the Income Tax Department checks for discrepancies in the returns, such as misreported income, discrepancies in tax payments, or mismatches in TDS (Tax Deducted at Source) credits. If the department finds any issues, it can issue a notice under Section 143(1) to the taxpayer, highlighting

Non-filing notices are issued when the Income Tax Department detects income, transactions, or TDS entries that indicate taxable activity, but no return has been filed for that year. These notices often stem from information reported in Form 26AS, AIS, bank statements, or third-party sources, prompting the system to flag a potential compliance gap. A quick and accurate response is essential because delayed action can escalate the issue into penalties or scrutiny. TaxBuddy’s No

Receiving an income tax notice often signals mismatches, omissions, or verification requirements flagged by the Income Tax Department. Immediate action helps prevent penalties, delays, or escalations. A structured approach—starting with understanding the notice type, verifying authenticity, gathering documents, and submitting the right response—ensures smooth resolution. TaxBuddy simplifies each stage with guided workflows, expert-backed checks, and accurate document handlin