Income Tax Return Filing is one of the most important aspects of personal finance management. If your gross total income (before allowing any deductions under section 80C to 80U) exceeds the basic exemption limits as prescribed by the Income Tax Department, you have to mandatorily file your Income Tax Return for that Financial Year (or Assessment Year).
Non-filing of ITR may attract penalties and also has severe consequences.
What if you have genuine reason(s) for not filing your income taxes? You might have quit your job and started your own business and assuming there is no taxable income in the first year , and you do not file taxes. How IT department considers these kind of non-filing cases?
Let me explain to you my own real-life experience. I was employed in the Information Technology (IT) industry till 2009-10 and filed my Income Tax Returns every year. In 2010 I had quit my job to pursue CFP (Certified Financial Planner) course full-time and also to start my own consultancy firm ReLakhs Financial Services.
In the Financial Year 2010-11 (AY 2011-12), I did not file my Income Tax Return as my gross total income was below the applicable basic exemption limit. But, during that FY, I had booked few Time Deposits (FDs) out of my previous year’s savings and also there were some TDS entries in my Form 26AS towards ‘Interest on Securities’.
As I did not file my Tax Return, I had received ‘non-filing of Income Tax Return Notice’ from the IT department. This is a compliance notice asking me to furnish information/reasons for not filing my ITR. They had also enclosed annexure with the information on my time-deposits (FDs).
Like-wise, there can be genuine reasons for not filing your taxes but you may end-up receiving compliance notice from the Department.
Latest update (22-Jan-2019) : The Income Tax Dept has identified several potential non-filers who have carried-out high value transactions in Financial Year 2017-18 but have still not filed Income Tax Return for Assessment Year 2018-19 (relating to FY 2017-18). The Department has now enabled e-verification of these NMS cases to reduce the compliance cost for taxpayers by soliciting their response online. Non-filers are requested to assess their tax liability for AY 2018-19 and file the Income Tax Returns (ITR) or submit online response within 21 days.
In this post let’s discuss – What is non-filing of income tax return notice? How to respond to non-filing of income tax return notice? How to handle notice from the Income Tax Department for non-filing of ITR? How to check the status of your response online?
Non-Filing Monitoring System
The Non-filers Monitoring System (NMS) is a pilot project which has been initiated by the Tax Department to prioritize action on non-filers with potential tax liabilities.
The IT dept carries out ‘data analysis’ to identify non-filers about whom specific information is available through various sources such as;
- Annual Information Return (AIR) (High Value Financial Transactions information report. Read : How Tax dept tracks High Value Financial Transactions?)
- Centralized Information Branch (CIB)
- TDS/TCS Statements etc. (Read: What is Form 26AS?)
Through NMS around 12.19 lakh, 22.09 lakh and 44.07 Lakh non-filers with potential tax liabilities have been identified in 2013, 2014 & 2015 respectively..
The identified non-filers are informed by SMS, e-mails and letters. The below image is the letter received by one of my friends for non-filing of income tax return. (Click on the images to open them in new browser windows)
How to reply to non-filing of Income Tax Return Notice AY 2019-20?
In most of the cases, the IT department sends notices by emails or by SMS. You can respond to the notice through your income tax e-Filing Account. There is no need of personal presence in this matter.
Below are the step by step guidelines on how to respond to the notice;
- Login to your e-Filing account at incometaxindiaefiling.gov.in with your user name and password. If you do not have a login id password, you may have to register yourself first.
- Click on ‘Compliance Menu Tab’. Here you can view information about your non-filing status.
- Click on ‘View and Submit Compliance’ to submit your response to the non-filing compliance notice. (You can find another option ‘view my submission’. If you have already submitted your response, you can click on this option to view it)
- You can find three options i) e-Sahyog, ii) Filing of Income Tax Return & iii) Related information summary.
- If you have already filed your ITR and if the IT dept sent you a notice regarding any mis-matches then you need to provide information by clicking on e-Sahyog. This tab may not applicable for non-filing cases. (Read: Everything you would like to know about e-Sahyog online facility)
- Click on ‘Filing of Income Tax Return’ to update your ‘response’ & ‘reason’ for not filing your income tax return for a specific Assessment Year.
- Response can be either ‘you have filed ITR’ after receiving the notice (or) ‘ITR has not been filed’.
- Reason can be, i) Return under preparation, ii) Business has been closed, iii) No Taxable income & iv) others
- The third tab ‘related information summary’ will have details about the third-party information received by the tax department. For example : You might have booked Fixed Deposits with your banker and they would have deducted TDS on them. So, you need to mention whether this information relates to ‘self’ and the source of such income/expenditure (reason). Another example can be, you would have received ‘Gift’ in cash mode and invested in Shares. These reasons can be as below;
- Self & Investment/ expenditure is out of exempt income
- Self & Investment/ expenditure is out of accumulated savings
- Self & Investment/ expenditure is out of gifts/ loans from others
- Self & Investment/ expenditure is out of foreign income
- Self & Income from transaction is exempt
- Self & Income from transaction is below taxable limit
- Self & Income from transaction relate to different Assessment Year
- Self & Not Known
- Other PAN (This option is to be selected if the third party information relate to another taxpayer. In this case, the PAN of such other taxpayer is to be mandatorily provided.)
- Not Known (This option is to be selected if the taxpayer has no information about the third party information.)
- Need more information
- After providing all the required details, you can click on ‘submit’ button.
- You will receive an acknowledgement number for the submitted response.
- You can view the status of your response by clicking on ‘compliance tab’ and then on ‘view my submission’.
- Click on the ‘compliance Ack Number’ link to know the status of your response. You can click on ‘response pdf’ to download your response as a PDF file. The response submitted online by you (taxpayer) will be verified by the ITD (Income Tax Department) and if found satisfactory, the case will be closed.
Conclusion
If you make a huge or high-value financial transactions there are chances of getting a notice for non-Filing of Income Tax Return from the compliance Management cell. It doesn’t necessarily mean that income tax department is looking at you as a tax evader.
You may be an NRI (with no taxable income in India) invested huge money in a property located in India and you may end up in getting a notice for non-filing of return.
Kindly note that if there is no taxable income then there is no need to pay tax (or) file income tax return. You are only requested to furnish your response in the compliance module on the e-filing income tax portal. You can respond to the notice online. The entire procedure is very simple.
In case if you have to respond to the notice by post, you can enclose document proofs (if any) to support/justify your response. If you do not submit your response within the prescribed time-limit, your case might be transferred to the concerned Assessing Officer (AO). He/she may take up your case for scrutiny.
If you consider your case as a complex one, kindly consult a Chartered Accountant.
I hope you find this post useful & informative. Kindly share your comments.
Continue reading :
- How Income Tax Dept tracks the High Value Financial Transactions?
- Income Tax Dept’s latest Helpline Numbers
- How to check Income Tax Refund Status – FY 2017-18 (AY 2018-19)?
(Image courtesy of Stuart Miles at FreeDigitalPhotos.net) (Post published post date : 16-April-2016)
Hi ,
I just want to know when option of ” Other PAN ” would be used.
In case share trading is done in wife account using her PAN but source of funds are from husband account then in such cases OTHER PAN should be used mentioning husband PAN or does this option is used for some other purpose.
Dear Asheet,
If one gifts amount (without any consideration) to spouse (wife) then any taxable income realized from such amount is added to husband’s income (PAN) only.
Yes I understand that ,My query is in respect to “Other PAN” option ,in this case Husband PAN should be mentioned under this option while replying to income tax authorities by wife.
Is this correct.
Dear Asheet,
Yes.
“This option is to be selected if the third party information relate to another taxpayer. In this case, the PAN of such other taxpayer is to be mandatorily provided.”
You may also consult a CA in this regard!
Hi Srikanth,
Thanks for such an informative article.
I Request you to please answer my query:
Today I have received msg from IT Department for not filing of ITR for FY 2018-19.
In 2017 may I have sold an ancestors property for Rs 28 L and deposited in bank as FD and and also purchased a plot on 2018 Jan for 14 L.(Presently I am jobless for past 6 yrs, and running my family with interest and my wife salary) I have never filed the return because my net taxable income never exceeded taxable threshold limit.
So my question is do i need to file taxes for FY-2017-2018? or I can select “Not liable to file return of income”.
Could you please advise me what should I do !
Thanks in advance for your assistance!
Hello Mr. Reddy,
I have received a non filing if it return – reg. Notice from the IT dept for the assessment year 2013 -14. I was not working in the FY 2012-13. However, me and my husband received the possession of a joint property in this period. My husband has declared the same in his IT return.
I tried to clarify this via the compliance portal, however it says no compliance records are created for you.
Kindly help as to what I can do regarding this.
Best regards,
Aarti
Dear Aarti,
You may kindly reply by post as given in the notice letter.
You may take help of a CA..
Hi Mr. Reddy,
Thank you for descriptive post, it very well explains the reason for getting the compliance notice. But I have a doubt as the compliance portal has changed. Here is my husbands case –
We are non-resident Indians and my husband received notice for FY-2016-2017 and FY-2017-2018.
His account did have a FD, TDS was deducted at source(bank) but income/interest earned was less than 2.5 lakhs so he does not need to file taxes.
What option we need to select on e-verification tab?
First is – ITR has been filed / ITR has not been filed.
If we select ITR has not been filed, second option under reason is – Under preparation /Not liable to file return of income.
So my question is does he need to file taxes for FY-2016-2017? or he can select “Not liable to file return of income”.
FY-2017-2018, he filed.
Thank you again!
Dear Nidhi,
Based on the provided info, I believe that he can select “Not liable to file return of income” option.
But, suggest you to kindly consult a CA as well (for an in-person verification of the documents).
Related articles:
* Do I need to file my Income Tax Return?
* What is Double Taxation Avoidance Agreement (DTAA)? | Is Income earned outside India Taxable?
Thank you Mr. Reddy,
Can your financial services assist us in this? How do I get in touch?
BTW, I have a become a fan of your blog and read so many articles. You are doing a good job!
Dear Nidhi,
I used to offer one to one Fin planning service, but recently stopped providing it.
Glad to know that you find my blog posts informative.
Kindly read :
*My List of popular Fee-only Financial Planners (Part-1) | Based on my interactions & observations
* My List of popular Fee-only Financial Planners in India (Part-2) | Based on my interactions & observations
Hi, what is the time duration taken by IT Dept. to close an e-verification.
Dear Rishabh,
Are you referring to ITR processing?
It depends on the type of ITR form as well.. and there is no defined Turn-around Time for this.
This time my ITR (3) has been processed in this month, was filed in Jul 2019.
Hi Sreekanth, thanks for your reply. I was asking for e-verification enquiry which was raised by ITD for non-filing of ITR. I have given the response on 1st Feb 2019 & wanted to know in how much time the ITD closes the verification.
Dear Rishabh,
Did you file your ITR (belated return) in response to the non-filing notice? and e-verified it…
If so, you may have to wait for sometime till they process it..
Thanks Sreekanth. My experience was that I did not see e-sahyog but used your website for hints on how to proceed. For whatever reason the e verification response sheet I got showed 2 large ticket transactions that I did not even make. After panic calls to TRACES I put in a complaint. Even TRACES had no idea what I was talking about. But your website helped me. Digital input was supposed to simplify things Sreekanth but I found it so complex. And their bot is not helpful and says she cannot understand me. Thanks to you I managed to help myself.
Dear Srikant, I am a senior citizen (64 yrs) and pensioner. Today I have received SMS from IT Dept. asking reasons for non submission of IT return for FY 2017-18. My yearly pension is around 3.80 lacs and I have invested around 1.00 in tax saving 5 year bank deposits during Mar 18. As I felt there is no tax liability, ITR has not been submitted. It is likely that some of my time deposits with bank are matured during this period & bank might have credited this to my savings a/c before reinvesting them in time deposits. Except this, I do not have any high value transactions. All these deposits are credited and again debited to my savings a/c for reinvestment. I donot know whether this has been the base for SMS from IT dept.
I am staying in a small town in AP. where CAs or ITPs are not available for getting clarification. I sincerely request you to guide me in this matter at the earliest, as I have to respond within 21 days.
Thanking you, RANGACHARY.
Dear Rangachary ji,
Suggest you to file your ITR before 31 March 2019 eventhough your tax liability is NIL.
You may take help of online Tax filing websites.
Related articles :
* Do I need to file my Income Tax Return?
* How many Previous Years’ Income Tax Returns can be filed after Due date?
Dear Shrikant its really very useful website , thanks for helping and providing guideline to people.
I have one query , Under AIR ,CIB and TDS my mother received notice for assesment year 2014-15. actaully they have group of ladies of middle class and poor families and they run mahila bachat gat , So my mother and other lady they have account in co operative bank and they did all the transactions of that group using that joint saving account , they always paid money to all group members by cheque however they deposited initial amount every month by cash. So please guide in such case how to answer that notice , we have bank statements and bachat gat register where all past entries and signature of all members.
Thanks in adavance for your guidence
Regards
Sandeep
Dear Sandeep,
Thank you for your appreciation!
Suggest you to consult a CA in this regard. He/she will guide you in replying to the notice to the IT Dept, with necessary documentary evidences.
Thanks Sreekant ji.
Halo Sir
I’ve received a notice from IT department for NON FILING OF IT RETURN FOR THE FY 2014-15, AY 2015-16. I am 30 years old. I received 10 lacs as gift from my father via NEFT/RTGS/Cheque in my account. He is a retired person and a pensioner. The money is a part of his savings/pension. The money I received was converted in a FD in the year mentioned above and in that year, the total amount of interest, which I earned equalled to about 2,83,000/. And, in that year, my 80C savings is equal to 42000/- which makes my net taxable income below the threshhold limit of 2,50,000/-, and thus I did not file my return.
The FD is in the joint name and I am the FIRST HOLDER.
Now, I received the notice. Can I file the IT return now or shud I simply reply on e-filing portal as discussed by you above. Can I/Should I apply for CONDONATION OF DELAY ?
Please guide me and suggest me the most appropriate solution.
Your prompt reply will be highly appreciated.
Dear Neeraj,
As you have received a Gift from your father that too through a non-cash mode, I believe that you can just reply to the compliance notice indicating ‘Self & Investment/ expenditure is out of exempt income’ by providing the necessary details in Remarks.
Suggest you to kindly consult a CA as well.
Related article : Got a Gift? Find out, if it is Taxable or Tax-free?
Dear Sreekanth,
My father invested part of his pension money which he received when he retired as a FD in the year 2014 October month. The amount was around 12 lakhs. That money is not a taxable income in his hands(to my understanding), also the gift given to wife is an exempt income only the interest earned on it is taxable. Now my mother received an email from IT department asking to file return for AY15-16 before march 31st which I missed. Kindly suggest a remedy
Dear Varun,
Kindly note that the interest income on FDs is a taxable income. (or) his total income is below basic exemption limit??
Yes, gift given to spouse is a tax-free transaction, however any income earned by the receiver of gift is clubbed to the income of giver of the gift.
Kindly read : Got a Gift? Find out, if it is Taxable or Tax-free?
Your mother can reply to the notice as – Self & Investment/ expenditure is out of gifts/ loans from others
Suggest you to kindly consult a CA and then reply to the notice.
Many thanks for the prompt reply
I have received notice for my mother who sell house for 45 lk and then distribut money to 4 sons within 19 days. Is she eligible for income tax.. how much would be panality
Dear Rishi,
We need to calculate the capital gains on the Sale transaction and accordingly she may have to pay taxes (if any).
Kindly read : How to calculate Capital gains on sale of property?
The distribution of proceeds to her sons can be considered as Gifts and are tax-exempt.
Kindly read : Gifts & Income tax implications..
Hi,
I got a letter from Income Tax under a subject ‘Non Filing of Income Tax Returns for the Assessment Year 2015-2016’ and I should respond through Compliance in efiling site. I just checked the ITR filing status for the year they mentioned. It says ‘Return Uploaded'(But not ITR-V processed, Is it because the hard copy of ITR copy did not reach them?) and I could see the date of filing and an acknowledgement number as well. I tried to see how to submit a compliance in IncomeTaxefiling site(If required), under Compliance Menu. It says ‘No Compliance record relating to filing of return is pending in your case’.It would be very helpful if you help me resolve this issue. Please respond as soon as possible.
Thanks and Regards,
Manikandan K
Dear Manikandan,
Looks like, if you just send the signed physical copy of the relevant ITR-V to bangalore address by post will suffice.
You may also submit your grievance through e-Nivaran portal, the IT dept will guide you on this..
Sir ji mere father ne 2014 me house sell karke plot liya tha .unki 2014 me death ho gayi.ab unke naam CIB 403 or CIB 410 Ka notice aaya h.unhone kabhi return nahi bhari.ab return bhari Ka Sakti h ya nahi.please reply soon
Dear Keval,
Kindly consult a Chartered Accountant.
Read : How to file Income tax return of a Deceased person?
Greeting of the day,
Thanks for the information provided. I got the notice for TDS-194A description TDS return-other interest.
as I’m retired Army personnel. What reason should I put while filling compliance. As Fixed Deposit were in the name of my wife (the letter I got was referred to my wife only). which option is more appropriate.
Self & Investment/ expenditure is out of exempt income
Self & Investment/ expenditure is out of accumulated savings
Self & Investment/ expenditure is out of gifts/ loans from others
Self & Investment/ expenditure is out of foreign income
Self & Income from transaction is exempt
Self & Income from transaction is below taxable limit
Self & Income from transaction relate to different Assessment Year
Self & Not Known
Thanks for your early anticipation.
regards
Dear Abhishek Ji,
Without having full details, its tough to advice on this matter.
Suggest you to kindly consult a CA in person and take advice.
Sir,
I did not filed my Return of FY 2014-15 & the income was taxable. now i have received the notice for non filing of IT Return & i am ready to pay the tax & penalty. please tell me what respond i should submit online & how to pay my tax .
The due date for filing of IT Return is over for FY 2014-15. can i file my return any other way or how to closed this issue.
Dear SAURABH ..Based on the notice, you can file ITR for FY 214-15 now. Suggest you to consult a CA and file your tax return at the earliest.
Sir, IT Department asking to me for non filing income tax. our client did not receive any notice for non filing income tax notice and her gross total income is below the applicable basic exemption limit so what should i reply to IT Department.
Sir.
I have received notice from income tax department for non filing of income tax return for Ay 15-16.Now under which section i should file my return .
Dear Sam .. It can be Belated Return- u/s 139(4). But I believe one can not file ITR for FY 2014-15 now.
Kindly take advice from CA and respond to the notice at the earliest.
Sam you could file ITR before 31st march 2017 for F.Y.2014-15. now you can’t file. visit to IT Department for Suggest what to do.
Hi, I had not not filed my ITR return for AY 15-16 and received letter from IT dept. I am being asked to reply on compliance module in e-file portal. I have taxable income on which tax was deducted but there is no tax liability. I tried uploading my return now but i am getting the message – “due date for filing is over”.
How do I reply to them? Can I select & submit the option – “return not filed”?
Dear Jyoti,
You may reply by selecting the option – ‘ No taxable income’ under ‘ Filing of ITR’ (as mentioned in the above article).
Dear Sreekanth,
I also have received the same notice from AO of IT regarding the ITR of 15-16.
I have paid the taxes promptly for the aforementioned year.
What should I do now..?? responding it like “no taxable income” may violate the term of tax payment.
Dear Shrikant ..You may submit your grievance asking for more details on this notice via e-Nivaran portal.
Else, you may consult a CA and take advice in person, as without going through the docs it is not advisable to suggest anything on this matter.
Hi
Sreekanth i have a doubt recently i registered in efiling website to know my pan details . after that i came to know that only the persons who earns the money needs to register in the website . now, will ITD treat me as a person with tax liabilities and sends a notice? plz let me know if you can.
Dear Srinivas..Kindly do not worry.
Read: Do I need to file ITR?
Hi Srikanth,
Thanks for such an informative article.
Request you to please answer my query:
In 2014 Jan I have sold a plot Rs 9.79 L and deposited in bank as FD in different bank, Total amount of LTG and FD interest is below taxable income So I did not file Return for that year in this situation I got a notice from Income Tax Department about non-filing of returns. When I checked under the compliance section in Income tax website, they have asked for below information:
1.2014-15- CIB-403 Time Deposit exceeding Rs. 2, 00,000 Banking Company.
2.2014-15-TDS-194A TDS Return-Other interest (section 194A)
And I also checked in Form 26AS is Provided BY TRACES for the FY 2015-16 is also got TDS entry, these income also below taxable income (Presently I am jobless past 4 yrs, and running my family with these interest and my wife salary) in these situation how to avoid get same notice again from IT dept for the year of FY 2015-16.
Could you please advise me what should be done here?
Thanks in advance for your assistance!
Dear Gopi,
Based on the inputs given here, you may select option ‘Self & Income from transaction is below taxable limit’.
You may also consult a CA and respond to the notice.
Hi Sreekanth,
Thanks for the useful information. Requesting a clarification.
I live in the US now. My parents received a letter from IT dept. saying that I hadn’t filed returns for A.Y 2015-2016 (also citing card purchases above 2L and TDS data).
I logged into my e-filing account to find that I have filed for that year. Acknowledgement number is displayed. But the status is ‘Return Uploaded’ while the others are ‘IT processed’. I might have forgotten to send the physical acknowledgement to IT office or the post might not have reached. I am not sure why it is not processed.
The letter asks me to reply electronically though ‘Compliance’ menu. But when I go to ‘View and Submit Compliance’, there is no compliance record.
How do I respond to this, considering that I’m abroad now?
(Moreover, I found out that there is a similar ‘Return uploaded’ status for A.Y 2008-09)
Please advise.
Dear Gokul,
You may request them to activate compliance link through e-Nivaran portal.
You may check ITR V status online, click here..
Thanks, Sreekanth. Will try this.
Today I have received the IT Notice to file the Return for the Year 2010-2011 . I have not filed the return from Year 2006 to till date as I am working in the Middle East From March 2006 to Till Date Continuously ( Max Break is 3 Months ).
Kindly Advice me .
Dear VILAS .. Did you have any taxable income from sources in India during 2010-11 period? Do you find any details in notice?
I have received the Income Taxt Dept Notice , It Says that Your Income Chargeable to Tax for the Assessment Year 2010-11 has escaped assessment within the meaning of Section 147 of Income Tax Act 1961 . Required to file the Return for the same year .
I have been working in Middle east from Year April 2006 till date without the Break more than 03 Months .I feel that I am not reqired to file the Return as an NRI .
Kindly Advice me What I have to do .
In Year 2010-11 My Net Income through the FD Interest was less than 1 Lakh .And Apart from asking to file the Return for 2010-11 The Notice from the Income Tax does not write anything in details.
Please advice me,
Dear VILAS,
You may either ask for more details regarding Notice through e-Nivaran portal
(or)
You may reply to the notice that ‘Self & Income from transaction is below taxable limit’.
Sir My wife received the notice..CIB-407 from income text , None filling the ITR , we have purchase the car in my wife name she is house wife I have deposited 2 lakh thru check and rest of amount I have taken the loan from bank in my name kindly suggest while replying query which option i have to chose. my wife have the pan card but she has not file the income text return because she dont have the income.
Dear rajendra,
I believe that she may select ‘Self & Investment/ expenditure is out of gifts/ loans from others’ option and respond to the notice.
But, suggest you to consult a CA and take advice.
Thank you Sreekanth for the content of this blog. I wish to ask you about my problem regarding the notice from IT dept.
My wife has just yesterday (2.3.2017) received a notice for ‘Non filing of Income Tax Return’ for Fin. Yr. 2014-2015. In fact my wife is a house wife and has no income what-so-ever. My wife has a ICICI Direct demat account in her name which is linked to the ICICI bank joint account with me. I normally purchase share through this demat account. However, since the money transacted are mine, I used to show all taxable transactions in my income tax return (bank interests, dividends, short/long term profit/loss etc.). So, no returns were filed in my wife’s name.
So, fact stands that since all tax responsibilities has been properly taken care of I presumed, there was no reason for my wife’s income tax return to submitted.
Now since this notice has been served, please help me and advise me what shall I do now.
Dear BIDYUT,
But the investments are made in her name right? as the Demat account is solely in her name..
Kindly consult a CA and take help.
WHAT INFORMATION IT DEPARTMENT HAS OBTAINED UNDER CODE EXC-001: CASH TRANSACTION EXCEEDING 10 LACS IN A MONTH AND SENDING EMAIL TO NON FILERS.KINDLY LET US KNOW ALL ABOUNT EXC-001,FOR WHICH WE WILL REMAIN GRATEFULL TO YOU SIR.
Dear Paartho..you need to respond to the compliance notice by selecting appropriate option & remarks.
Hello Sir, I received Income Tax Notice as 2014 EXC-001 Cash Transactions exceeding Rs 10,00,000/ in a month
I am an NRI, might have withdrawn cash for the purpose of construction of my house,
how to I respond. what option should I select.
thanks for replying…
ms
Dear msm,
Suggest you to kindly consult a CA.
Hi Sir,
My mother is housewife and she received a letter saying Non-filing of income tax returns, she have invested around 10L in fd which is also earned by selling her property and spend some amount on my sister marriage
F.Y. 2014 AIR-001 Deposited cash of Rs. 10,00,000 or more in a saving bank
F.Y. 2014 EXC-001 Cash Transactions exceeding Rs 10,00,000/ in a month
She did not filed the ITR
Please help in giving reason and other details and guide me what can be done
Regards,
Hema
Dear Hemamalini,
Were there any capital gains on sale of property? Was it below taxable limit?
May be, advisable to consult a CA and reply to the notice.
Hi Srikanth Reddy,
Very good information about ITR.
My brother is studing MS in US.For studie purpose my father deposited 1000000 into his account.
He(brother) got notice from IT department.Please advise my how to respond in properly in oncome tax site.
FYI:My father is farmer.
Dear Hari,
Without going through complete details (in person), it is not advisable to suggest anything on this issue. Kindly contact a CA and take help.
Hi Sreekanth, I got a letter from IT dept and responded after reading this blog. Thank you. Im a widow and my father from Jaipur and brother who is settles in Hong Kong, purchased a flat for me in 2014. Hence i received a letter. But i have no income as such and im a housewife. What do you suggest? I have aready submitted the response that expenditure was from foreign money and gifts.
Dear Aisha,
Gifts is fine.
But I am skeptical about response as ‘foreign money’, as it is not earned by you???
Yes it was transferred to my account by my brother who lives in Hong Kong. I do have my bank statements as a proof.
Should i change that to gifts also? I just checked that we can repost the response.
Dear Aisha..I believe that Gift can be an apt response. If possible, do take advice from a CA.
I transferd the money through western union in 2010-2013 from uk ,on my returm from uk my father given the amount Rs.750000/- approx as Rd to my name . This year, I received notice for more than 10 lacs deposit in saving account. What option I should choose from the following for information code AIR-001 & My present income is About Rs 150000 per year:
Options: Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others,
Self – Investment/expenditure is out of foreign income,
Self – Income from transaction is exempt,
Self – Income from transaction is below taxable income,
Self – Income from transaction relate to different AY,
Self – Not known,
Other PAN,
Not Known,
Dear SUSHIL,
Self – Investment/expenditure is out of foreign income , can be the right choice.
But, kindly consult a CA and take advice.
Hi Mr. Sreekanth
Today I got a a letter from IT Dept for filing Compliance on CODE EXC001. So farI’m not a tax payer and not submitting ITR. During 2014-15 might have done the transaction related to the construction of my new house. So please let me know what option t be made in Compliance Report.
Dear Sreekumar,
Without having complete details, not advisable to suggest you anything on this. Kindly consult a CA in person and take advice.
Thanks for such an informative article. Request you to please answer my query :
I am selfemployed . I received a notice from Income Tax Department about non-filing of returns. When I checked under the compliance section in Income tax website, they have asked for below information:
2014-15 AIR-001 Deposited Cash of Rs. 10,00,000 or more in a Saving Bank Account
Could you please advise what should be done here?
Can I reply for point by choosing the option “Need More Information”?
Thanks in advance for your assistance!
Dear Raja,
You are the right person to provide details on Rs 10 Lakh deposit, so kindly select the option which is applicable as per your profile.
Hi Sreekanth,
My father got a non filling of ITR from compliance cell with below information on third party tab
CIB-403: Investment in Fixed Deposit/Time Deposit exceeding Rs. 2,00,000/- for FY 2014-15.
Back ground :
My father and my brother ( who works in US ) has a joint account in India and my father is primary holder and had taken a FD exceeding 2,00,000 from the money sent by my brother which are tax paid at source in US ( salaried employee). And my fathers income is below tax exemption limit so he didnt not file ITR.
iam planning to put below response..
1. Filing on ITR tab:
Response : ITR has not been filed
Reason : No Taxable income
Remarks : this is a joint account between me and my son who is a salaried employee in US and for the transactions happened in this account the tax has been paid at source with US tax number XXXX.
2. Related information summary tab
information relates to : Self & Investment/ expenditure is out of foreign income
please suggest if my response is ok or any changes required to be done .
quick reply would be appreciated, thanks in advance.
Dear Sravan,
1st point is fine.
2nd point : Related info tab:
It is not your father’s foreign income, am I right? So, this may lead to some other conclusion..
Hey, I’ve directly credited my AdSense income in my mother and father accounts to reduce tax. Can I file itr of my mother with Itr 2 form showing income from other sources or should I opt for presumptive tax scheme for professionals .. Please help.
Dear Raghav,
It is your income, so you need to declare it as yours in your ITR.
However you may gift your income to your parents.
My father deposited 200000 money in cooperative society on my name and i got income department msg of information code CIB514,CIB 516.How to reply this please guide
Dear Reshu,
Are you a tax Assessee? Do you file ITR?
Probably you can select,’Self & Investment/ expenditure is out of gifts/ loans from others’ option.
Thanks for replying,
My one question is that while filing compliance report i have not come related information tab and chose self for CIB 403 point but in response sheet it is showing self -not know should i resubmit or wait as it is my saving accumalted. I think this is why my case is not closed. Kindly guide me.
Dear Alka,
Without looking into the compliance notice, not advisable to comment on specific action items.
Suggest you to kindly use e-Nivaran help desk portal and check about the status of your Notice and the reason for not closing it by the IT dept.
Hi Sreekanth,
Thanks for such an informative article. Request you to please answer my query :
I am unemployed but have done investments in my name from my father’s money and income generated from investment is below taxable limit. I received a notice from Income Tax Department about non-filing of returns. When I checked under the compliance section in Income tax website, they have asked for below information:
1 2013-14 AIR-001 Deposited Cash of Rs. 10,00,000 or more in a Saving Bank Account
2 2013-14 TDS-194A TDS Return – Other Interest (Section 194A )
3 2014-15 AIR-003 Paid Rs. 2,00,000 or more for Purchase of Units of Mutual Fund
4 2014-15 CIB-183 Time deposit of Rs. 1,00,000/- and more
5 2014-15 EXC-001 Cash transactions exceeding Rs. 10,00,000/- in a month
6 2014-15 TDS-194A TDS Return – Other Interest (Section 194A )
I checked the transactions being done from my side but didn’t come across any transaction related to Point 5. above with EXC -001.
Could you please advise what should be done here?
Can I reply for point 5. by choosing the option “Need More Information”?
Thanks in advance for your assistance!
Dear Chandan,
Advisable to consult a Chartered Accountant and take help to reply to this notice.
Query: I belongs to ST community form Assam (beyond 6th schedule area) and working in a PSU in Arunachal Pradesh and Exempt Tax U/s 10(26) . I received non-filing of Income Tax Return Notice for the Year 2015-16. Early myself was posted in ASSAM (beyond 6th schedule area) and paid tax as well as Return. How do I response in this case?
Dear Dheren,
If you have paid tax dues and also filed your income tax return for AY 2015-16, you may ignore the notice. Else, kindly take help of a Chartered Accountant.
Dear Dheren,
In such a case, You can select ‘Self & Investment/ expenditure is out of exempt income’ option.
Suggest you to consult a CA and get the notice checked.
Neither I have paid tax nor filed Return as I am exempt from Exempt Tax U/s 10(26) of income tax Act 1961. Please
Dear Sreekant Reddy,
I have received email for not filing of income tax return for A.Y.14-15 but i have filed the return and got the refund also. After that i received another email if filed kindly ignore the same.
I have also filed my compliance report on 25/03/2014 for A.Y.10-11 & 11-12 as my income was below taxable limit and submitted. Now in compliance view and submit option i can see only submitted the case is not closed what to do should i resubmit the same kindly help me. Transcation mentioned is TDS-92A for FY 2010-11
ii)CIB-403 for FY 2009-10 for time deposit exceeding Rs.200000 with a banking company
Please suggest me should i resubmit or not.
Dear Alka,
If you have already submitted your response to the compliance notice and if you believe that your response is correct, kindly wait and let the IT dept respond to it.
In my case too, I believe after 1.5 years they had closed the notice.
Thanks for replying,
My one question is that while filing compliance report i have not come related information tab and chose self for CIB 403 point but in response sheet it is showing self -not know should i resubmit or wait. I think this is why my case is not closed. Kindly guide me.
Hi Sir, I have received email today that ” As per our records, it is observed that you have not filed your Income Tax Return for Assessment Year 2015-16. Please submit your online response as under”. But I have filed in returns and I can see the ITR filed also in the website. Do I just ignore this email?
Hi Sreekanth,Me too received same above message. I verified my ITR and also the year for which i received notice is not present in my compliance section. Please suggest the solution.
Dear Satish/Melwin/Sudheer,
I have also received the compliance notice from NMS (Non-filers Monitoring System). And I do not see any compliance notice generated online.
Mostly, this can be due to a technical glitch from the IT dept side. Let’s wait for some more days to get more clarity or info.
Ok. Thanks Sree.. Kindly update here if you come across anything new on this
Dear Friends,
Today i have received an email from the IT dept as below;
Dear Taxpayer,
If you have already filed return for the Assessment Year 2015-16 (Income earned during the Financial Year 2014-15), kindly ignore the earlier mail on this issue.
Regards,
e-filing Team for Compliance Management Cell
Income Tax Department
So, if you have filed ITR and the same has been processed, you can ignore the Compliance related email (if any) that you might have received couple of days back.
SAME CASE for me. Filed but received mail for 15-16
Hello Sir,
My mother is a housewife and she does not have any source of income. In 2006, she opened an FD account of around 1 lac using all her household savings and gifts received which she accumulated from many years.She never filed IT returns as FD interest was very less and below taxable income. On visiting ITR site today, she noticed that in “Pending Actions” Compliance Check link is showing.
She has not received any email or SMS on registered id regarding the Compliance Notice.
Response was asked for Non Filing of ITR for Assessment year 2014-15.
In Related Information Summary:
Information was asked for
i)TDS-92A for FY 2013-14
ii)CIB-403 for FY 2013-14 for time deposit exceeding Rs.200000 with a banking company
When we checked Form26AS, the interest earned in 2013-14 is very less than taxable income. When we checked bank statements, we found that the FD opened in 2006 has crossed amount of 2 lac including interest earned in all these years.
Could you please let me know on how to proceed. Which option should i select:
Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others
Also, in ‘Filing of income tax return’ tab, can i select ÍTR has not been filed and Reason as No taxable income since income is less than taxable income.
We will be very thankful to you for your guidance. Appreciate your prompt response.
Thanks,
Shekar
Dear Shekar,
This option can be selected : Self & Investment/ expenditure is out of accumulated savings
On ‘Filing of Income Tax Return’ tab you can select ‘ ITR not filed’ & ‘no taxable income’ (assuming her total income during that Financial year is below basic exemption limit).
Thank you sir for the help. In Filing of Income Tax Return tab, do we need to provide any details in the Remarks section?
Thanks,
Shekar
Hi Sreekanth,
Very useful information thanks.
My dad has invested FD in the name of my married sister and the interest amount is about Rs.17K. She has income from salary as a scholl teaher and some share transactions, not of High value and either within taxable limit or LTCG. The total of all incomes does not exceed taxable limit and we have file form 15-G with the banks and they have not deducted TDS. We have received a notice for non filing for A Y 15-16 and since the income was below taxable limit we did not file the ITR. Now, in response to notice we would like to file the return even though below limits. Hope this case would not be much to worry about. Source of FD income could be treated as gift from Dad. Please suggest. Also, within what time limit do we need to reply to this?
Thanks
Khyati V.
Dear KHYATI,
You have an option to file belated return with NIL tax liability, mention that ‘ ITR filing is under process ‘ in response to Compliance notice .
Else, you can mention that ‘Self & Investment/ expenditure is out of gifts/ loans from others’ & ‘No taxable income’ as options.
Hi Sir…I filed Income Tax for AY 2015-16. However, I still received a Notice. Logged in to income Tax site and it is showing as ITR-V Processed for AY 2015-16.
Tell me what should I do in this case ?
Dear Krishna,
I have filed my ITR for AY 2015-16. But, I have also received the compliance notice from NMS (Non-filers Monitoring System). And I do not see any compliance notice generated online.
Mostly, this can be due to a technical glitch from the IT dept side. Let’s wait for some more days to get more clarity or info.
thanks sir for your valuble help.
HELLO SIR, I’ve received a Notice of AY 2014-15. It can’t be filed now as the filing period for AY 2014-15 is over.My Tax has been ddeducted acoordingly as per Form No 16. In Compliance>Related Information, it shows TDS- 192A>TDS Return – Salary to Employee (192A). What do I select as option in RELATED INFORMATION
Dear Akshay..I believe that you can file ITR based on the notice you have received. Kindly consult a CA.
Hello sir
My uncle have income from salary and pension during the AY 13-14 .and he pay tax by challan but ITR not filed. he received a notice for non filing . and his some TDS deducted u/s 194A .so now tell me what can i make reply .
Dear SANDEEP ..If TDS has been deducted and ITR has not been filed, suggest him to file the ITR now. Kindly take help of a CA.
Hi Shrikanth,
I have received a notice for non filing of ITR for FY- 12-13. I have chosen option Return under preparation. Do I need to file returns for that FY now? Also my employer has deducted TDS, what response is to be given for information code TDS-192A?
Thanks.
Dear Naresh ..If that is the option that you would like to opt for then you have to file the ITR w.r.t the notice issued.
Among the available options – Self & not-known is apt. Kindly take help of a CA to respond to the notice and for filing the ITR for FY 2012-13.
Hi Sreekanth,
Hope you are doing well !!
My father is a senior citizen and retired long back. On the FY12-13 he made one investment(around 1,00,000/-) from his saving but not filled IT return. Now he got a IT notice indicating “Non-filing of Income Tax Return” and refers to a “Time Deposit Rs 1,00,000/- and more” during 2012-13 Financial year.
I have doubts which of the below Option should be used as part of submitting compliance :-
1. Self – Investment/expenditure is out of exempt income,
2. Self – Investment/expenditure is out of accumulated savings,
3. Self – Income from transaction is exempt,
4. Self – Income from transaction is below taxable income,
Request your kind advise so that I can reply Income Tax department. Your input is highly appreciated.
Dear susanta ..Based on the provided info, the option – Self – Investment/expenditure is out of accumulated savings, can be considered.
Thanks!! Thanks for your kind help and information.!!! 🙂
Dear Mr Sreekanth,
My father superannuated from his job at the age of 61 on 31 August 2010 (FY 2010-11 AY 2011-12).
He was employed with Tata Steel LTD.
On visting ITR site for downloading ITR for FY 2015-16 yesterday he noticed that in his “Pending Actions” Compliance Check link is showing.
Kindly Note that he hasnot recieved any email or SMS on his registered id regarding the Compliance Notice.
In that link we saw below information is being requested by IT dept for below sections:
E-Sahyog: This section is blank and it says no records avaliable.
Filling of Income Tax Return:
Response was asked for Non Filling of ITR for Assesment year 2011-12 and 2012-13
In Related Information Summary:
Information was asked for
i)TDS-92A for FY 2009-10
ii)TDS-92A for FY 2010-1
iii)CIB-403 for FY 2010-11 for time deposit exceeding Rs 200000 with a banking company
My father didnot filled the return for AY 2011-2012 as TDS of RS 9001 was deducted from his employer that year and he thought there is no need for filling ITR if company deducts TDS.
For AY 2012-2013 he didnot filled ITR as he didnot have any tax liability after taking into account all his incomes and permissible deductions.
Also after his retirement in FY 2010 he made term deposit of entire amount he recived from hi PF and Gratuity with State Bank of India.
Kindly go through the above case history and kindly suggest what should we reply for the above mentioned points of the Compliance Notice.
We will be very thankful to you for your guidance.
Regards
Arindam
Dear Arindam,
That’s strange! Geenrally the IT dept sends notices or intimate through emails regarding non-compliance issues.
I could see that they are asking for info related to transactions done in FY 2009-10 too (AY 2010-11).
It is advisable to consult a CA, so that he/she can go through all the available documents/bank statements and advise you aptly.
Dear Mr Sreekanth,
My Father received a IT notice indicating “Non-filing of Income Tax Return” and refers to a “Time Deposit exceeding Rs 2,00,000 during 2013-14 Financial year. The source for the Income is my brother is used to transfer the money from USA and my father has some savings. He is a farmer …
I have doubts which of the below Option should be used as part of submitting compliance :-
Options:
Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others,
Self – Investment/expenditure is out of foreign income,
Request your kind advise so that I can reply Income Tax department. Your input is highly appreciated.
Dear Balakrishna,
You may consider the option ‘investment is out of gifts’. Also, the transfer is done through online mode, so you have the proofs for it.
i am a gavarment em. i recived a non filling of income tax return ay 2013-2014 Tds deducted for fy 2012-2013 by the gaverment employer s0
I am a Non Resident Indian (NRI; that is Live and work outside India; now in USA) since 1998. I do not have taxable income in India. In 2012, I purchased a flat in India using NRI House Loan from ICICI and 20% downpayment using my income from the US. EMI (load repayment) is done through my NRE Bank account in India (money from US is transferred to this NRE account). As I do not have taxable income in India, and I am NRI, I am not required to file a tax return in India. I have not filed tax return in India.
I received letters in 2015 and now in 2016 from the Income Tax Department of India as they have information about the property transaction in 2012. They asked to furnish response, which I did saying “I do not have taxable income in India, and I am NRI, I am not required to file a tax return in India”. The letter is now asking to make use of the Tax Declaration Scheme 2016 (TDS) to disclose any undisclosed income.
As I have not taxable income in India in 2012 or any year, what should I do?
Should I disclose on TDS (online form) with Zero Income, and hope that there will not be any more notices? Please note that I have by snail-mail responded to each of these notices, (each one in 2015, July2016 & August 2016). No reply from IT department
Dear Sir,
Kindly reply to the notices online. My suggestion is to consult a CA as he/she would be in a better position to advise (need to look at the documents / notices).
Hi Sreekanth,
piece to piece useful information provided. Please help in below case :
My father was retired on 22 November 2013 but his tax was deducted by HR from Apr to Nov 2013. But he hadn’t submitted the return for 2013-14 FY. His salary was Rs 40000 per month now he got notice for non filing of Income tax return for FY 2013-14 & FY 2014-15 . Since for FY 2014-15 he will mention “Others – left the job” but please guide us what to do as there is no option to file income tax return for 2013-14? What should we select for 2013-14 as his income was taxable from Apr 2013 to 22 Nov 2013 ?
Sincerely appreciate your reply.
Best Regards,
Pankaj
Dear Pankaj,
Has the TDS been deducted for FY 2013-14 by the employer?
As you have received the notice, I believe that you can file the ITR and file it. Kindly take help of a CA.
Hello Sir,
My father senior citizen (65 years old) had not filed tax so far and now received this letter from IT stating the CIB-403 (Deposit exceeding Rs. 2,00,000/- with a Banking Company) for the FY2013-14. He is holding FD and the interest amount is less than the eligible tax limit.
Kindly confirm if he just respond back to the compliance with option (1 or 2) or should file tax returns and then submit the response?
1. Self – Income from transaction is below taxable income,
or
2. Self – Investment/expenditure is out of accumulated savings
Thanks and Regards,
Kavitha
Dear Kavitha,
In case if you father does not have any other source of income and such income is below taxable limit, then he may just respond to ‘compliance notice’ that it is ‘Self – Income from transaction is below taxable income.’
I believe that there is no need to file any Income Tax Return.
Once again a very informative piece. Just downloaded my Compliance Response Sheet, based on what I read here, thank you. A few questions:
How long do you reckon before the IT department closes the notice? I had responded on 25/5/2015, regarding a time deposit over Rs. 2,00,000. I choose “NRI, funds remitted from abroad, interest from NRO deposits below taxable limit”.
On hindsight, I should have gone for “No taxable income”.
Moreover, I didn’t even see the “Related Information Summary” tab, until I read this. The tab as per the Compliance Response Sheet shows: “2011-12 – CIB-403 Time Deposit exceeding Rs. 2,00,000/- with a Banking Company – Self-Not known”
Guess I should have checked “Self” and “Self-not known”.
Do you think I should re-submit?
Dear Jay,
As you have information regarding the time deposit, may I know why self & not known option???
Yes, you can re-submit the response to compliance notice.
Since I am aware of the Fixed deposit, will this not be a case of known. Hence I cannot select “not known”. Is my interpretation correct?
Thank you.
I don’t recall seeing the “Related Information Summary” tab or the options. So all I can now think is, it might have been the default option in the system.
I did this last year – so my memory is foggy.
Jay
Hi
Kindly reply me if you have resubmitted the reponse to compliance notice as the same case has been with me also. Would be very grateful if you would reply to me and also you case has been closed or not. Waiting for your reply
Hi,
I received a notice under code CIB-405 & TDS-192A.
As I bought a vehicle of 8.5 Lakhs in FY 13-14 and I have taken 5 Lakhs from my father to buy it.
What options should I choose under “Related Information Summary”
Dear Dheeraj,
You may consider ‘Self & Investment/ expenditure is out of gifts/ loans from others’, if you treat the amount given by your father as either GIFT or LOAN.
I transferred money into my mother’s saving account from US in 2013-14. She don’t file ITR as her income is less than taxable income. This year, she received notice for more than 10 lacs deposit in saving account. What option she should choose from the following for information code AIR-001
Options: Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others,
Self – Investment/expenditure is out of foreign income,
Self – Income from transaction is exempt,
Self – Income from transaction is below taxable income,
Self – Income from transaction relate to different AY,
Self – Not known,
Other PAN,
Not Known,
Dear Ruchi,
Self – Investment/expenditure is out of gifts/loans from others, can be a better option.
But kindly note that income from such gift is taxable in the hands of your mother.
Kindly read: Gifts & income tax implications.
so well and easy explained article. Dear sir , can you give me clarity
I have received the below mentioned notice first time on 14th June 2016 by post.
SUB: NON FILING OF INCOME TAX RETURN-REG.
FINANCIAL YEAR 2012-2013 ASSESSMENT YEAR 2013-14
Compliance Module on the e-filling portal at income tax India filling
2012-13
STT-01, STT-02, STT-03
Sir,
IN 2012-13 I have done trading and following is the case of me…
I have turnover >> 1 crore but statement of capital loss more than rupees 10000 in equity then 25000 losses in commodity in FY 2012-13 and same year I have changed career direction become full time student so left the trading. And I have no taxable income up to date FY 2015-16. Since last four years I’m living on loan by friend and small saving for continue study and living expenses. And I decided myself to stop this way trading and priority focus on my study.so since august 2012 to update June 2016 ….but now IT notice become priority and stress on head the cost is price of lost the study time. And collecting document for IT to show my honest proof…
I was not aware until I get IT notice so kindly help to solve the puzzle
(1.) How I reply this notice kindly help me.when I have lost of Rs 40000/- and no income.
(2 if turnover is more than one crore (12-13) but loss and no any income source except FD interest whole year Rs 5000/
(3.) Is still after four years now in june 2016 when i get notice .this time I can fill return for FY 2012-13 AY 2013-14 and carried forward loss? When I have already left trading in 2012-13 but not closed demat and broker account.
i have no account book keeping. But have all documents statement of capital gain and bank statements
(4) I need CA or just I register myself and fill reply of this notice.
Kindly guide me!
Dear Ashwani..Suggest you to kindly consult a CA and respond to this notice at the earliest. Do submit whatever details you have with you to CA.
Thank you sir,
can you suggest me on compliance Related information tab is options
what i have to fill or choose in my case . i trade or invest money in mkt with my earning money small small saving in last years and fund from family . is this options asking fund source or result of trade like stt-01,02,03 i have loss and no income /salary from any other . so what i choose? i know you have advised me for CA…but for confidence and clarity knowledge purpose requesting a guide !
if source then saving if result then below taxable income in my case i have loss.
Options: Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others,
Self – Investment/expenditure is out of foreign income,
Self – Income from transaction is exempt,
Self – Income from transaction is below taxable income,
Self – Income from transaction relate to different AY,
Self – Not known,
Other PAN,
Not Known,
I need more information)
Hi Sreekanth
I could not file my return for the AY 2014-15 and I received a notice asking my to furnish response in the compliance module.
I have two sources of income 1. My salary, which is TDS and 2. Bank interest (Rs. 2012, deducted by the Bank) these 2 sources I can see these 2 data points in the incometax website itself.
Could you please help me which reason I have to select here while filling the compliance form ? After submitting that form, can I submit the ITR now? If yes, can I do it using cleartax as a regular process?
Please let me know. Thank you!
Dear Mohan ..For FY (2013-14) Or AY 2014-15 ITR can be filed till 31st March, 2016.
Suggest you to take help of a CA and reply to the notice.
Dear Mr Sreekanth, I am aged 72 years & retired long time back ( I dont file Tax returns as income from Deposits very less) and have got a IT notice indicating “Non-filing of Income Tax Return” and refers to a “Time Deposit exceeding Rs 2,00,000 during 2013-14 Financial year.
I have doubts which of the below Option should be used as part of submitting compliance :-
1. Self – Investment/expenditure is out of exempt income,
2. Self – Income from transaction is exempt,
3. Self – Income from transaction is below taxable income,
Request your kind advise so that I can reply Income Tax department. Your input is highly appreciated.
Dear VENKAT Ji,
I believe that you may opt for ‘Self & Investment/ expenditure is out of accumulated savings’. This option may be more apt for you, kindly review it.
Dear Mr Sreekanth, Thanks very much for the clarification. You are in the best position to advise.. I was thinking that since most of my deposits are from my gratuity, I should choose the “Option 1.Self – Investment/expenditure is out of exempt income”.. Accumulated savings also seems to fit in…I think I will go with your recommendation. Once again thanks a lot for timely response.
SIR In Related Information Summary Tab:
Information code: TDS-192A
Information Related To: ??? (
Options: Self – Investment/expenditure is out of exempt income,
Self – Investment/expenditure is out of accumulated savings,
Self – Investment/expenditure is out of gifts/loans from others,
Self – Investment/expenditure is out of foreign income,
Self – Income from transaction is exempt,
Self – Income from transaction is below taxable income,
Self – Income from transaction relate to different AY,
Self – Not known,
Other PAN,
Not Known,
I need more information)
Information code: TDS-192B
Information Related To: ??? (Same option mentioned for TDS-192A)
Please let me know which option I need to select form above mentioned options.
Thanks in advance.
Dear RAJEEV..You are the best person to identify the right option. These options are self-explanatory.
I beg to get clearification on High Value item saying deposit or withdrawals Rs 50 lac in year at currect account.The thing uncleared is that this 50 lac will run singly with deposit and withdrawals or seperate 50 lac for wd or deposit ie total one crore.
Dear Mr Ahuja,
Cash deposits or withdrawals aggregating to Rs 50 lakh or more in a financial year in one or more Current Account of a person will have to be reported by the bank to the I-T authorities. It can be one-time deposit/withdrawal or multiple deposits/withdrawals.
Kindly read: How Income Tax Dept tracks High Value Financial Transactions?
I RECIVED NOTICE FROM THE INCOME RAX AUTHORITIES OF NON FILLING OF RETURNS REGARDING CASH DEPOSITED IN BANKING COMPANIES 1000000 OR MORE , BUT ACTUALLY I DID NOT DEPOSIT CASH IN MY SAVING ACCOUNT , THEN , HOW CAN I HANDLE THIS NOTICE ? PLEASE TELL ME SOLUTION
In 2005 Father property independent house transferred in my name . Now i decided to convert in to flat . so that i can get a new flat with some cash . The under standing is out of 100 % Land, I may retain 65 % Land , balance 35 % sold to builder. so that he has to construct new flat to me . out of 65 % the builder to construct 45 % to me and 20 % cash he has to hand over to me . kindly advise about capital gains .
Dear Srinivasavaradhan..Suggest you to kindly consult a CA.
Hello sir, great useful post you have written here. I have a query , if you can clear it will be most helpful. Me and my husband work as a freelancer writer and also manage few blogs.
We share the websites and work on them. I get all the payments of adsense for my work and my husband receives all the affiliate income. Also all the expenses of the websites are given by him only. My adsense income in a year is lower than the present tax slab per year. And i invest this money in different instruments.
Do i need to really show my expenses (which are not there) if the adsense income goes over tax slab in future and if i need to file the itr? If yes, how can i do it? Please guide.
Dear Neha,
Generally, professionals can show/claim 10 to 30% of income as expenses.
I have observed that even though there are no expenses incurred, few people do deduct them from income and file taxes .(Kindly note that I am not encouraging you to do like this).
Also, it is better to file taxes through a CA. I believe that both of you are filing ITR4 or ITR 4S right?
At present, as i said that i am not filing any itr as my income is less than 2.5 lacs. But my husband file the itr regularly and i think its itr4.
And even though i file the taxes through CA at later years, what expenses i can show there? Just want to know your thoughts on same.
Dear Neha,
I was referring to your future tax filing requirements only.
Any expenses related to your profession like internet bill, mobile bill, magazines, stationery etc.,
Thanks for your help. Will keep that all in mind.
Hi Sreekanth,
I have no income from salary or business, but interest from Bank FD is Rs:-14000/month for past three years,andI have not filed ITR so for(income is below taxable limit). I have started SIP for Rs:5000/- and One lakh rupees is invested in dept fund and made to STP Rs :-750 every month to multi cap fund in last year(FY2015-16), in this situation should I file ITR compulsory or not ,kindly reply me,
Thank you,
Gopi
Dear Gopi,
May not be needed.
But do have a track of your income Vs investment ratio.
Also read: High value financial transactions…
Thank you for your response,
If I wish to file ITR here after(that is from the AY 2016-17)should I file previous year also or may I continue form this year is enough.
Thank you,
Gopi
Dear Gopi..If you have taxable income for the previous financial year (2014-15), suggest you to kindly file ITR for that year first and then for FY 2015-16.
Thank you Sreekanth
Hi bro,
I also have the same problem like you..I am doing my MBA but I invested around 3 lakhs in mutual fund last year, Aug 2015 and its for long term for holding minimum of 3 years ..Do i need to file IT return for this year or not
Dear Nano / Gowtham ..you may not be required to file ITR but if you get a compliance notice from IT department then you should be in a position to provide information about the source of these funds.