First check the notice on the e-filing portal, match it to the return, and note the reply date. A 143(1) intimation with a wrong adjustment is usually fixed by a response or rectification, a section 156 demand is answered on the portal as correct, partly correct or disputed, and a 143(2) or 142(1) notice needs a reasoned reply by the date stated.
Facts checked: 9 October 2026. I could not open the logged-in portal, so menu names below follow how the e-filing site and secondary guides describe them; labels change, so look for the matching option on the live screen. Time limits and the 20% stay figure come from the 1961 Act and CBDT practice and are not re-verified for this post. Notices for AY 2026-27 and earlier remain under the Income-tax Act 1961.
Step zero for every notice
- Log in to the client's account on incometax.gov.in and open the pending actions or e-Proceedings area. A notice by email alone is not enough; the portal copy and its due date matter.
- Note the section, assessment year, DIN and response date.
- Compare with the filed return, Form 26AS and AIS.
- Diary the date, and send the client a short list of documents needed.
Which notice, which response
| Notice | What it means | Usual response | Time limit |
|---|---|---|---|
| Intimation 143(1) | Computation with adjustments, refund or demand | Check TDS and challan credits. If the adjustment is wrong, respond with agreement or disagreement on the portal | Typically 30 days where an adjustment is proposed. Read the notice |
| Demand notice 156 | Tax, interest or fee payable | Pay, or respond on the portal as demand correct, partly correct or disputed. Choosing correct locks the dispute, so be sure | Pay within the period in the notice, typically 30 days |
| Rectification 154 | Mistake apparent from the record | File a rectification request, for example for TDS credit not given | Generally within four years from the end of the financial year of the order |
| Scrutiny 143(2) | Return selected for assessment | Reply on the portal under e-Proceedings with books, bank statements and explanations | Notice is issued within three months from the end of the financial year in which the return was filed |
| Inquiry 142(1) | Questionnaire or documents | Answer each query with annexures | The date in the notice; request extension in writing if needed |
When to appeal and when to seek a stay
If the order is wrong on merits and rectification is not suitable, appeal to the Commissioner (Appeals), usually within 30 days of the order or demand notice, using Form 35 filed online. An appeal does not stop recovery by itself. A stay of demand is requested from the Assessing Officer under section 220(6), and CBDT practice has asked taxpayers to pay a portion of the disputed demand, commonly 20%. Verify the current instruction on the department site. Interest under section 220(2) runs at 1% per month on unpaid demand.
Worked example
A client's 143(1) shows a demand of ₹32,000 because ₹80,000 of TDS in Form 26AS was not credited.
- Open the demand on the portal and match 26AS to the return.
- Respond as partly correct or disputed, stating that TDS credit is missing, or file rectification.
- Attach the 26AS extract and TDS certificates.
- Track the revised intimation and the refund or nil demand.
- If the officer rejects it, file Form 35 within the appeal period.
Working habits for CA firms
- Keep one notice register per client: section, date, reply due, documents, status.
- Reply in writing even when the notice looks small. Silence leads to ex parte orders.
- GST notices follow a different process; see the GST notice reply template.
- Penalty exposure is worth checking early, for instance the section 271B penalty calculator.
Related: ITR due dates for AY 2026-27, TDS return due dates and advance tax due dates.
Frequently asked questions
Do I have to pay the demand before I can respond?
No. You can respond on the portal and file an appeal, but recovery continues unless a stay is granted.
What if the demand shows wrong because of a missing TDS credit?
Start with rectification under section 154 or a response to the 143(1) adjustment, with 26AS proof.
What if I miss the reply date on a scrutiny notice?
The officer may proceed on available material. Reply late with reasons and ask for a fresh date rather than staying silent.
Where do I find notices for a client?
On the client's e-filing account, under pending actions and e-Proceedings. A professional can see them if the client has added the CA as a representative.
Statutory facts on this page are checked against their sources, and the page says where it relied on secondary reporting. How we verify · Report an error