IT department gave a chance to rectify the mistake, if you have also received the notice then do this work immediately.

The Income Tax Department has recently given a big statement regarding the notices and emails sent to taxpayers. The department has clarified that the purpose of the communication sent in case of discrepancy found between ITR and financial transactions is neither to impose penalty nor to initiate scrutiny, but it is only of advisory nature.

In the last few days a large number taxpayers had complained that he was receiving emails and SMS which mentioned high-value transactions related to his PAN. These transactions were either not reflected in the ITR or appeared to be much larger than the declared income.

IT department sent notice to these people

The department said that the information given in such notice is completely based on the data which is already available with it. This data is available from banks, mutual funds, registrars and other reporting institutions. The department said that the purpose of these notices is only to make the taxpayers aware that the complete details of the transaction are available in the records of the department.

CBDT said that these notices have been sent only in those cases where significant differences were found between the disclosures given in the ITR and the third-party data. In such cases, the department wants taxpayers to review their returns and correct any errors. Taxpayers can check the AIS and amend their returns if there is any mistake. If they wish, they can also file late ITR. At the same time, if they feel that their filing is completely correct, then they can also ignore the notice.

The mistake can be corrected by 31 December 2025

The last date for filing amended or late ITR for assessment year 202526 is fixed as 31 December 2025. Such emails were sent to thousands of taxpayers last week. These included names of people whose high-value transactions like bank deposits, investments, donations were not recorded in the ITR or were much larger than the declared income. The entire move is part of the department’s data-based monitoring drive, using information from AIS, SFT, TDS and TCS. The department wants the taxpayers to correct the mistakes in time, so that any further action or problem can be avoided.