Why did AI send Income Tax notice? | Jagran Business- watch video

20 Jun, 2023 Author: Saumya Jaiswar

The Income Tax Department is reviewing a number of income tax returns, particularly those where deductions for contributions made to political parties and charity trusts during FY19 have been claimed.

From March 20 to June 10 of this year, "hundreds" of letters were sent to salaried individuals, chartered accountants informed.

Section 80 G allows for 50–100% tax deductions for contributions made to political parties and charity trusts. Notices were sent out in accordance with Sections 138 and 148 (A). Only an incorrect deduction has frequently been brought up in the notice. A reassessment notice has, however, been sent in a few instances where a larger donation amount has been requested.

For individuals with incomes over Rs 50 lakh and under Rs 50 lakh, reassessment of income tax returns is permitted at any time during the following 10 years and the following 8 years, respectively. Reassessments are permitted for returns for transactions in FY19 (filed under assessment year FY20) through March31, 2029.