• Notification Date: 31-08-2023
• Notification No: N/A

ITR Filing: Can Income Tax Return be Revised after Receiving a Tax Notice?

Filing income tax returns can sometimes be complex and prone to errors, leading to a tax notice from the income tax department, which is often perceived negatively. However, it is essential to remember that it doesn't always signify trouble; sometimes, it might just be an indication for you to correct a mistake on your tax return. One frequently asked question is whether taxpayers can revise their income tax return after receiving a tax notice. The answer is yes. 

Under Section 139(5), the Income Tax (IT) Act entitles taxpayers to revise their IT returns. Taxpayers can use this provision to correct the discrepancies in their IT returns, should there be any unintentional errors or omissions, even after receiving a tax notice. You can revise it prior to the expiry of one year from the end of the relevant assessment year or before the completion of the assessment year, whichever is earlier. 

 
Suresh Surana, Founder, RSM India, said, “Revised return u/s 139(5) of the Income Tax Act, 1961 (hereinafter referred to as 'IT Act') can be filed by taxpayers who discovers any error, omission or any wrong statement furnished either in their original return u/s 139(1) or belated return u/s 139(4) of the IT Act. It is pertinent to note that such revised return can be furnished at any time three months before the end of the relevant assessment year (For instance, 31 December 2023 in respect of Assessment Year 2023-24, i.e. for Financial Year 2022-23) or before the completion of the assessment, whichever is earlier.” 

Echoing similar views, Divakar Vijayasarathy, Founder and CEO of DVS Advisors, said, “Section 139(5) provides that a return may be revised at any time before three months before the end of the relevant Assessment Year or before the completion of the assessment, whichever is earlier. The word assessment refers to assessment under sections 143(3) and 144. Assessment is said to be completed only on the date of service of order. Mere issue of notice shall not be considered as completion of the assessment, and hence revised return shall be filed, provided the time limit of filing, i.e., December 31 of the AY, has not elapsed.”