With the deadline for filing income tax returns for Assessment Year (AY) 2024-25 having passed on July 31, 2024, and the due date for audit returns will be September 30, 2024, many taxpayers are now receiving notices under Section 139(9) for defective returns. If you’ve received such a notice, here's a detailed procedure to efficiently rectify the issues and ensure compliance.
Step-by-Step Guide to Rectify a Defective Return
1. Access the Income Tax e-Filing Portal
- Visit the Portal: Go to the Income Tax e-Filing Portal.
- Log In: Use your PAN number and password to log in to your account.
2. Locate the Notice
- Navigate to 'e-Proceedings': Once logged in, find and click on the 'e-Proceedings' tab on the portal.
- View Notices/Orders: Select 'View Notices/Orders' to see any notices issued, including those under Section 139(9).
3. Review the Defects
- Read the Notice Carefully: The notice will detail specific errors or omissions in your return. Pay close attention to these details to understand what needs correction.
- Identify Defects: Common issues include missing TDS certificates, incorrect or incomplete details, mismatched income, or incorrect deductions.
4. Gather Required Documents
- TDS Certificates: Collect any missing TDS certificates that were not included in the original return.
- Bank and Other Details: Ensure that all mandatory fields, such as bank account details or PAN numbers, are correctly filled.
- Additional Income Sources: Gather documentation for any unreported income sources.
5. Correct the Errors
- Log Back into the Portal: Access your account on the e-Filing portal again.
- Navigate to the Defective Return Section: Locate the section for responding to defective notices.
- Update Information: Make the necessary corrections as specified in the notice. This may involve:
- Uploading Missing Documents: Attach the missing TDS certificates and other required documents.
- Filling In Missing Information: Complete any missing details, such as bank account information or PAN number.
- Amending Incorrect Entries: Correct any discrepancies in income details or deductions.
6. Submit the Revised Return
- Revised Return Submission: After making all necessary corrections, submit the revised return on the e-Filing portal.
- Ensure Accuracy: Double-check that all corrections have been made accurately to prevent further issues.
7. Confirmation and Acknowledgment
- Receive Confirmation: Upon submission, you will receive an acknowledgment from the Income Tax Department confirming the receipt of your revised return.
- Track Status: Keep track of the status of your revised return through the e-Filing portal to ensure it is processed correctly.
Processing Time for Defective Returns
- Typical Duration: The processing of a defective return after submission of the revised return generally takes between 2-4 weeks.
- Prompt Action: Addressing the defects as soon as possible can expedite the processing and reduce the risk of additional complications.
Implications of Non-Compliance
- Invalid Return Status: If defects are not rectified within the specified period, the return may be deemed invalid.
- Penalties and Interest: You may face penalties for non-filing and interest on any unpaid taxes.
- Loss of Benefits: You may lose the benefit of carrying forward any losses to the next financial year.
- Legal Repercussions: Continued non-compliance can attract legal notices and increased scrutiny from the Income Tax Department, complicating future tax filings and impacting your financial standing.
By following this detailed procedure, you can efficiently address any issues with defective returns and maintain compliance with tax regulations for AY 2024-25. Promptly rectifying the defects will help avoid penalties and ensure that your return is processed smoothly.
