What is intimation u/s 143(1)?

Intimation u/s 143(1) is the first stage where all Income-tax returns are processed to correct arithmetical mistakes, internal inconsistencies, tax calculation and verification of tax payment.

myITreturn Experts offer Notice Assistance Service to help you with handling of notices. Prices for this service starts from as low as Rs. 1000/-. Just upload your Notice and we will suggest and guide you with the best possible way to resolve. Login and upload your notice to avail Notice Assistance Service 

At this stage, no verification of income is undertaken. It is completed through computerised processing and there is no human interference.

Intimation under section 143(1) is sent to a taxpayer only in case any tax or interest is found payable or refundable or there is any increase / reduction in loss. In case , one has received such an intimation , he should first check the reason for receiving it.  The intimation would contain the details of return filed by you and the computation as done by the income tax department.

Please refer to the below image:

The return filer is required to read and analyse the intimation. The result varies case to case basis and broadly has three conclusions:

1. No demand No Refund ( but resulting in any increase / reduction in loss)

It is a case where the adjustments as referred to in section 143(1) have been made resulting in increase/ reduction in loss declared by the taxpayer and no interest or tax is payable/ refundable by/ to the assessee.

2. Demand Determined

It is a case where any interest or tax is found payable on the basis of the return after making adjustments as referred to in section 143(1) and after giving credit to the taxes and interest paid by the taxpayer.

3. Refund Determined

It is a case where any amount is found refundable on the basis of the return after making adjustments as referred to in section 143(1) and after giving credit to the taxes and interest paid by the taxpayer.