It might happen that the taxpayer may forget to claim certain incomes or deductions in his Income-tax return. Sometimes the taxpayer may inadvertently claim certain incomes or deductions under the wrong head, such issues are referred as “mistake apparent from record” as per the Income Tax Act. Notice under section 154 of the Income-Tax Act is the rectification order issued by the department in case of such mistake apparent from record*. The income tax department may issue such notice in response to a rectification request filed by the assesse or it can self-generate the rectification order, where they notice any discrepancy in the income tax return processed.
What is mistake apparent from record?
The meaning of “Mistake” from the perspective of section 154 is as follows:
- Mistake includes any arithmetical & clerical errors/mistakes
- Misreading a clear provision of the Income Tax Act
- Applying an inapplicable provision of the act
- Non-following a decision of Jurisdictional High court
- Erroneous application of a provision of the act
- Overlooking a non-discretionary but mandatory provision
Income Tax authority may:
- Amend any order passed by it under the Income Tax Act
- Amend any intimation or deemed intimation under section 143(1).Click here, to know more about intimation under section 143(1).
Rectification Request for Income Tax Return
Rectification request can be filed u/s 154 of the Income Tax Act by the taxpayer in case of any mistake apparent from the record.
To file your Rectification, you should be a registered user on income tax department website and if you have not already registered then first get registered on it .
Following are the steps to file an online rectification:
Step 1 – Login to www.incometaxindiaefiling.gov.in using your User ID, Password and Date of Birth/ Incorporation and GO TO My Account < Rectification Request.
Step 2 – Select Return to be rectified as “Income Tax Return” from the drop down available.
Step 3 – Select the Assessment Year for which Rectification is to be e-Filed.
Step 4 – Enter the Latest Communication Reference Number (as mentioned in the CPC Order) and then click “Validate” button there.
Step 5 – Select the “Rectification Request Type”.
Step 5(a)– On selecting the option “Taxpayer is correcting data for Tax Credit mismatch only”, four check boxes are displayed. You may select the checkbox for which data needs to be corrected. Details regarding these fields will be pre-filled from the ITR filed. User can add a maximum of 10 entries for each of the
selections. No upload of any ITR is required. Now you can enter the tax payment details correctly here.
Step 5(b) – On selecting the option “Taxpayer is correcting Data in Rectification”, select the reason for seeking rectification.
You can select a maximum of 4 reasons. Following are the rectification reasons you may select from:
After selecting the reason you will be required to select the concerned schedules to be changed in the rectification, Option provided for uploading xml and DSC ( in case of audit) .
Step 5(c) – On selecting the option “No further Data Correction Required. Reprocess the case”, check-boxes to select are: Tax Credit Mismatch, Gender Mismatch (Only for Individuals), Tax / Interest Computation Mismatch are displayed. User can select the checkbox for which re-processing is required. No upload of any ITR is required. User can view their 26AS details by clicking on “Click here to view 26AS details” button and view their Tax Credit Mismatch details by clicking on “Click here to view Tax Credit Mismatch details” button.
Step 6 – Click the “Submit” button. A popup appears.
Step 7 – Click on “OK” button to submit the rectification.
Step 8 – On successful submission, following message is displayed.