Income Tax

Section 143(1) Intimation Notice: What It Means & How to Respond

CA Nikhil Gupta·June 2026·7 min readTAX NOTICES

Reviewed by CA Nikhil Gupta · Last reviewed 17 June 2026

Got an email or SMS saying you've received an 'Intimation under Section 143(1)'? Don't panic — this is the most routine communication from the Income Tax Department, sent to almost every taxpayer after processing their return. Most of the time it simply confirms your return matches the department's records. But sometimes it carries an adjustment that increases your tax liability or reduces your refund. Here's how to read it and what to do.

What Is a Section 143(1) Intimation?

After you file your ITR, the Income Tax Department processes it through an automated system that checks for arithmetical errors, internal inconsistencies, and mismatches with data it already has (like TDS reported by your employer/bank, or amounts in your AIS/Form 26AS). The result of this processing is communicated to you as an 'Intimation under Section 143(1)' — sent to your registered email and visible on the income tax e-filing portal.

Three Possible Outcomes

Outcome	What It Means
No demand, no refund	Your return matches the department's computation exactly — nothing further to do
Refund due	Confirms the refund amount, which gets credited to your bank account separately
Demand raised	The department's computation differs from your return — additional tax is payable

What Adjustments Can Be Made Under 143(1)?

Section 143(1)(a) permits only limited, specific adjustments — the department cannot make a full scrutiny-type reassessment at this stage. Permitted adjustments include:

Arithmetical errors in the return
An incorrect claim that is apparent from any information in the return itself (e.g., claiming a deduction in a schedule that contradicts another schedule)
Disallowance of a loss claimed if the return for the relevant year was filed after the due date
Disallowance of expenditure or increase in income indicated in the audit report but not accounted for in computing total income
Disallowance of deductions under Sections 10AA, 80-IA to 80-IE etc. if the return is filed beyond the due date under Section 139(1)
Addition of income appearing in Form 26AS, AIS or Form 16/16A that hasn't been included in the return

⚠ You get a chance to respond first: Before finalizing any adjustment that increases your liability or reduces a refund, the department must send you a notice/intimation proposing the adjustment and give you 30 days to respond. If you don't respond, the adjustment is made as proposed.

How to Read Your 143(1) Intimation

The intimation has two columns side by side: 'As provided by Taxpayer in Return of Income' and 'As computed under Section 143(1)'. Compare these line by line — income heads, deductions, TDS credit, and tax payable/refundable. Any mismatch row highlights exactly where the department's computation differs from yours.

What to Do If You Agree With the Adjustment

If a demand is raised and you agree, pay the tax demanded through the e-filing portal (Challan 280 / e-Pay Tax) within the time specified, typically 30 days, to avoid interest under Section 220(2).

What to Do If You Disagree

File a rectification request under Section 154 on the e-filing portal if you believe there's an error in the intimation (e.g., TDS credit not matched correctly)
If the issue is about TDS not reflecting, check your Form 26AS/AIS — the deductor may not have filed their TDS return yet
For more substantive disagreements, you may need to file an appeal, though most 143(1) issues are resolved via rectification

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Time Limit for Issuing 143(1)

The intimation under Section 143(1) must be sent within 9 months from the end of the financial year in which the return is filed. If no intimation is received within this period, the return as filed is deemed to have been accepted (subject to the department's power to later select the case for scrutiny under Section 143(2), within its own separate timeline).

Frequently Asked Questions

I received a Section 143(1) intimation showing 'no demand, no refund' — do I need to do anything? ▼

No. An intimation showing 'no demand, no refund' simply confirms that the department's computation matches your filed return exactly, with no additional tax payable and no refund due. This is the most common and routine outcome and requires no further action from you. You should, however, retain the intimation as part of your tax records.

What if my Section 143(1) intimation shows a tax demand but I believe my original ITR was correct? ▼

First, compare the 'As provided by Taxpayer' and 'As computed under Section 143(1)' columns to identify exactly where the discrepancy lies. If you believe the department's computation contains an error — for example, TDS credit not being matched correctly, or a deduction being disallowed incorrectly — you can file a rectification request under Section 154 through the income tax e-filing portal, providing supporting details/documents. If the rectification doesn't resolve the issue, you may need to pursue further remedies depending on the nature of the dispute.

Within how much time must the Income Tax Department send a Section 143(1) intimation? ▼

The intimation under Section 143(1) must be sent within 9 months from the end of the financial year in which the return was filed. For example, if you filed your return for AY 2025-26 during FY 2025-26 (i.e., by 31 March 2026), the intimation must generally be issued by 31 December 2026. If no intimation is received within this period, no further adjustment can typically be made under Section 143(1) for that return — though the department retains separate powers for scrutiny assessment under Section 143(2) and reassessment under Section 148, subject to their own time limits.

Source and review trail

Use the current official instrument, portal or regulator publication before acting. This panel separates the category authority from page-specific references.

Primary category: Income Tax
Official starting point: www.incometax.gov.in

Page source links

The prior page did not embed a page-specific external source. The category authority above is the minimum verification starting point; a specific instrument should be added when available.

Primary sources & related provisions

Statutory provisions referenced in this guide: