Bulk Notices for Defective ITR u/s 139(9)



Bulk Notices for Defective ITR u/s 139(9)

Key Observations!! 


📌Two kinds of Notices have been received

-In case of 44AD-Income offered is less than 6%/8%

-Receipts in 26AS are higher than Total Receipts disclosed


📌44AD notices has only been received where the profit declared is EXACT 6%/8% of Turnover and not in cases where Declared profit is higher. 

@IncomeTaxIndia shall look into this matter (tech. issue) urgently as Profit in all such cases has been offered at required 6%/8% & withdraw such notices.


📌In notices which says that receipts in 26AS are higher than declared receipts then:-

👉It may be due to actual mismatch, like in case of contractors where Income offered in preceding FY but TDS has been deducted in Current FY

👉Also notices have been received treating figures of 194N (Cash withdrawal TDS) as mismatch in Turnover, which is not correct [@IncomeTaxInd please check] and Defect can be disagreed with proper explanation in such cases.

👉Also in 26AS mismatch notices, ITR would not be treated as Invalid. it will be processed with reduced TDS credit, so can be revised later on.

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