Where the Assessing Officer acknowledges that the ITR furnished by the taxpayer is defective, he may intimate the defect to him & give him an opportunity to correct the mistake within fifteen days from the date of such suggestion or within such further period which, on an application made in this behalf, the AO may, in his discretion, permit; & if the defect is not rectified within the fifteen days or, as the case may be, the further period so allowed, then, notwithstanding anything included in any other provision of this Act, the return shall be interpreted as an invalid return, and the provisions of this Act shall apply as if the taxpayer had failed to furnish the return.
Section 139(9)-Defective Return ( ITR )
Provided that where the assessee corrects the defect after the expiry of the said period of fifteen days; or the further time allowed, but before the assessment is made; the AO may approve the delay and treat the return as a valid return.
For the purposes of this section, a return shall be treated as defective, unless all the below mentioned conditions are fulfilled.
- the annexures, statements, & columns in the ITR relating to computation of income chargeable under each head of income, computation of total gross income and total income have been duly filled in.
- a return is followed by a statement showing the calculation of the tax payable on the basis of the return.
- the return is followed by the report of the audit referred to in section 44AB, or, where the report has been furnished before the furnishing of the return, by a copy of such report together with proof of providing the report.
- the return is accompanied by evidence of;
- the tax, if any, claimed to have been deducted or collected at source and the advance tax and tax on self-assessment, if any, claimed to have been paid, provided that where the return is not accompanied by proof of the tax, if any, claimed to have been deducted or collected at source, the return of income shall not be regarded as defective if;
-a certificate for tax deducted or collected was not furnished under section 203 or section 206C to the person furnishing his return of income.
-such certificate is produced within two years specified under sub-section (14) of section 155.
2.the amount of compulsory deposit, if any, claimed to have been made under the Compulsory Deposit Scheme (Income-tax Payers) Act, 1974 (38 of 1974).
- where the assessee maintains regular books of account, the return is accompanied by copies of;
- manufacturing account, trading account, profit and loss account or, as the case may be, income and expenditure account or any other similar account and balance sheet.
- in the case of a proprietary business or profession, the personal account of the proprietor; in the case of a firm, an association of persons or body of individuals, personal accounts of the partners or members; and in the case of a partner or member of a firm, an association of persons or body of individuals, also his personal account in the firm, association of persons or body of individuals.
- where the accounts of the taxpayer have been audited; the return is followed by copies of the audited profit & loss account and balance sheet and the auditor’s report and; where an audit of cost accounts of the assessee has been conducted, under section 233B55 of the Companies Act, 1956 (1 of 1956), also the report under that section
- where the assessee does not maintain regular books of account; the return is accompanied by a statement indicating the amounts of turnover or, as the case may be; gross receipts, gross profit, expenses and the net profit of the business or profession and; the basis on which such amounts have been computed, and also disclosing the amounts of total sundry debtors, sundry creditors, stock-in-trade and cash balance as at the end of the PY.
Revising your ITR in Response to the Notice
- Visit the income tax website & download the ITR form after selecting the Assessment Year.
- Select the option “In response to a notice under Section 139(9)” where the original return filed was a defective return.
- Enter the communication reference number, available on the notice, & acknowledgment number & date of filing original return.
- Complete the ITR like you usually would.
- Generate the XML File and upload it to the Income Tax Department website
- Select “e-File in response to notice u/s 139(9)” under the “e-File” section and upload the rectified XML using the password mentioned in the notice.
- A confirmation message with an acknowledgment number appears on the Department on successful upload.