One should always be careful while filing ITR. People get caught in the trap of the Income Tax Department due to slight negligence or wrong information and then the department investigates the entire history along with sending the notice.
income tax notice
Income Tax Notice: The Income Tax Department has full faith in you. He accepts the returns filed by you as genuine, but some people start playing games in the guise of this. Income tax shakes the trust and when in doubt, the department is left behind. Then the scrutiny begins and the Income Tax Department starts scrutinizing the entire horoscope of the taxpayers. Let us tell you those 5 reasons, due to which any taxpayer comes in the eyes of the Income Tax Department.
Income Tax Notice: Every taxpayer has to give the correct information about his income to the Income Tax Department while filing the Income Tax Return, but due to some small mistakes made knowingly or unknowingly, many times the taxpayer is on the target of the Income Tax Department. comes. Generally, the department will issue you a notice for making 5 big mistakes, so it is important that you know about them well, so that you do not have to face any kind of legal action.
Income Tax Notice: The Income Tax Department can also send notices to you under different sections for giving wrong information in the ITR form. There are 2 types of screening process. The first is manual and the second is mandatory. The first type of scrutiny can be avoided by keeping a few things in mind. Often people make 5 mistakes due to which their ITR form comes on the radar.
Non-filing of ITR
Non-filing of ITR- Sometimes the department sends notice to you even after non-filing of ITR. If your income exceeds the permissible limit then you have to file ITR. If you are an Indian citizen but have any foreign asset, you still need to file ITR irrespective of the income earned from it. The way to avoid this is to file ITR.
error in tds
Mistake in TDS – You will get a notice if there is any discrepancy between the TDS paid by you and the place where it has been filed in the return. For this always first ensure that how much TDS has actually been deducted and only then enter it in the return.
Undisclosed Income- Whatever you are earning in a financial year must be declared in ITR. Many times people hide the interest they get on savings account, fixed deposit and recurring deposit. Get the details of interest from your bank and enter it in ITR. In this, mention the income received from any other source.
ITR return error
Mistake in ITR Return- Many times people fill wrong ITR by mistake or unknowingly. Sometimes important information is left out. In such a situation, the Income Tax Department can send a notice. To avoid this, you can file ITR with a professional.
high value transactions
High Value Transactions – Any transaction that is unusual or involving a huge amount can also land you a notice from the Income Tax Department. If a person’s annual income is 5 lakhs, but he has deposited 12 lakh rupees in the account in a year, then the Income Tax Department can come into action. Here also it is necessary that you give the details of your every income to the government.