The Mission of Our Income Tax Department is “To promote Compliance with our direct tax laws, through caring taxpayer service and strict enforcement, and thus realize maximum resources for the Nation.”

Keeping the above mission in the mind, recently Income Tax department are sending Notice to various assesses who have not filed their Income tax Return and Seeking information as per AIR Filing by various Institution. Emails with subject as “Compliance – Income tax Return Filing” are being received by most of the assessee. This is with the help of improved and advanced monitoring due to stricter know-your-customer norms and online filing of returns, both of which have made data processing easier and faster with which escape can be easily monitored. So if you get a notice from the income tax department seeking details of a transaction or source/proof of some income and asking their details do not get shocked or surprised.

The Reason of assessee receiving notice is because assesses has failed to file return inspite of having bank cash deposits worth Rs 10 lakh or more in a year, credit card purchases of Rs 2 lakh or more, mutual fund investments of Rs 2 lakh or more, or purchase of bonds and debentures worth Rs 5 lakh or more in a year. Attention of the tax department also gets attracted besides sale or purchase of property worth Rs 30 lakh or more. Under the law, details of such transactions have been furnished by the entity with which you are doing the transaction. For example, if you have Rs 10 lakh or more in the savings account of a bank, the respective bank has to file an Annual Information Return (AIR) with the department. Such tight monitoring means the taxman may send you a notice asking you to file a return. Also, the tax department may ask you to explain your sources of income if there is a sharp discrepancy between your earnings and spending.


If you want to know the reason for which you have received a notice you need to login to Know the reason why you have received the Notice by simply going   in the menu "Compliance" and selecting the "Related Information Summary" .

How to deal with tax notices

First you need to understand why have you receive notice and for which year you have not filed your returns. Please login to

In case you have filed your all returns, Please update the details such as Mode of Filing (electronic Filed or Paper Filed), Acknowledgment Number, Date of filing return and Circle or Ward and City in case of Manual Filing.

In case you have not filed you return for particular assessment year, Please update the details such as Return under preparation or Business has been closed or No taxable Income or Others. If you select the option Others, you are required to also enter the remarks for the same.

Further under the tab “Related Information Summary”  you need to select particular Information of AIR filing as "Information Relates"  should be either Self or Other PAN (specify the PAN) or Not Known or I need more Information. Incase of mistakes there are chances of department asking for further clarification therefore make sure that you reply correctly.


There are more than 40 Lakh Individual who have made cash deposit of more than 10 Lakh in saving account. Who have invested money, but have not filed returns to whom the IT department will be sending out letters, asking those details of their tax returns are 23 lakh people identified by the department itself.

The I-T Intelligence and Criminal Investigation Directorate, at Delhi, from the annual information return (AIR) has been routinely sending out computer-generated notices which are seen as harassment by many individuals like Senior Citizens and Women’s.


For any query you can write to . Before making any decisions do consult your Professional / tax advisor.  Author does not take any responsibility for misrepresentation or interpretation of act or rules. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on.








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article author CA Chirag Chauhan
Posted On:  3 years ago

Thanks a lot

article author CA Chirag Chauhan
Posted On:  3 years ago


article author

CA Chirag Chauhan

Tax Expert
Chartered Accountant, CA Chauhan


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