Log in to the income tax e-filing portal using your PAN, go to "Pending Actions" and open the "eProceedings" tab — any notice or intimation issued to you appears under "For Your Action", where you can view and download the PDF. Most notices are served electronically, so also keep an eye on your registered email. The income tax notice password is usually your PAN in lowercase followed by your date of birth in DDMMYYYY format. Always verify the Document Identification Number (DIN) printed on the notice against the portal to confirm it is genuine.

Don't panic, and don't ignore it. First verify that the notice is genuine by checking the DIN in your e-filing account, then read the section it has been issued under and note the response deadline. Identify whether it is a simple intimation, a mismatch query, or a scrutiny notice, and gather documents such as Form 16, AIS, Form 26AS, bank statements, and investment proofs. Respond on the portal within the deadline — in scrutiny or high-demand cases it is wise to have a chartered accountant review your reply, because ignoring a notice can lead to a best-judgment assessment and penalties.

It is an intimation sent after your ITR is processed — essentially a preliminary comparison of your return with the department's records. It tells you whether you are getting a refund, whether there is a demand to pay, or whether the department has made an obvious adjustment (such as an incorrect total, a TDS mismatch, or a disallowed deduction, for which you normally get time to respond). If everything matches, no action is needed; if you agree with a demand, pay it online to avoid interest; if you disagree, file your response with proof on the portal.

It means your return has been selected for scrutiny assessment, and the Assessing Officer wants to verify the income, deductions, exemptions, or losses you have claimed. You are required to furnish explanations, documents, and evidence through the e-filing portal or in person on the appointed date. Such a notice must generally be served within three months from the end of the financial year in which the return was filed. Treat it seriously and respond on time, since non-compliance can result in an ex parte assessment with higher tax and interest.

There is no single time limit — it depends on the type of notice. For instance, a scrutiny notice must generally be issued within three months from the end of the financial year in which the return was filed, while notices for reassessing unreported income can be issued within a longer window (typically up to three years, and more in high-value cases with the required approval). The time given to you to respond is usually between 7 and 30 days and is clearly mentioned in the notice itself — missing it can mean the case proceeds on the officer's best judgment.

Income tax notice usually tab aata hai jab aapki ITR aur department ke records mein koi mismatch milta hai. Common reasons hain: AIS ya Form 26AS ke against income ya TDS ka mismatch, high-value transactions (property sale, bada FD interest, shares/mutual funds, credit card spends) jo declared income se zyada hon, pichhle saal ka unpaid demand, ya random scrutiny selection. Sabse pehla communication aksar section 143(1) ka intimation hota hai jo processing ke kuch hafte se kuch mahine ke andar aa jata hai. Agar aapka data sab match karta hai to notice aane ki zaroorat nahi — bas filing ke baad portal ke eProceedings section regularly check karte rahein.

Capital gains tax in India is the tax you pay on the profit earned from selling a capital asset such as property, listed shares, mutual funds, gold, or business assets. The gain is classified as short-term or long-term based on your holding period — 12 months for listed shares and equity mutual funds, 24 months for immovable property and most other assets. Short-term gains are taxed either at your slab rate or a special rate, while long-term gains enjoy concessional flat rates that differ by asset class.

Subtract the cost of acquisition, improvement costs, and transfer expenses from the full sale value — the balance is your capital gain. For example, if you bought a property for ₹60 lakh and sold it for ₹1 crore, your gain is ₹40 lakh, which is then taxed at the rate applicable to that asset and holding period. For long-term assets, indexation (where available) inflates your purchase cost for inflation and reduces the taxable gain. After applying the correct rate, adjust any exempt reinvestments and set-off losses to arrive at the final tax.

It depends on how long you held the property. If you sell within 24 months of purchase, the profit is a short-term gain taxed at your income slab rate. After 24 months, it becomes long-term and is taxed at 12.5% without indexation — and for property acquired before 23 July 2024, resident individuals and HUFs can instead opt for 20% with indexation, whichever works out lower. The buyer also deducts 1% TDS when the sale value is ₹50 lakh or more. Reinvestments under Sections 54, 54EC, and 54F can substantially reduce or eliminate this tax.

The legal way is to route the gain into exempt reinvestments. For a residential house, Section 54 lets you reinvest the gain in another residential property (cap of ₹10 crore), while Section 54F covers gains from other long-term assets reinvested in a residential house. Section 54EC allows investing up to ₹50 lakh of the gain in notified bonds within six months, and the Capital Gains Account Scheme lets you park funds before your ITR due date if the reinvestment isn't immediate. Offsetting capital losses and using the annual exemption on listed equity also helps — but concealing the sale or suppressing the gain is tax evasion, not planning.

For equity mutual funds (at least 65% in Indian equities), gains on units held for less than 12 months are short-term and taxed at 20%, while gains on units held beyond 12 months are long-term and taxed at 12.5% above an annual exemption of ₹1.25 lakh. Debt funds purchased on or after 1 April 2023 are taxed at your slab rate regardless of the holding period. Hybrid funds are treated as equity or non-equity depending on their equity exposure, so check the scheme's asset composition before redeeming.

Tax planning in income tax means organising your investments, expenses, and financial decisions in advance so that you legally pay the minimum tax possible — using deductions like 80C and 80D, exemptions like HRA, rebates, and choosing the right regime. It is fully legitimate because it relies on provisions the Income-tax Act itself offers (in Hindi it is commonly called "kar niyojan"). Good planning is done at the start of the financial year rather than in the last week of March, and it is very different from tax evasion, which involves hiding income.

Yes. Tax planning is completely legal when you genuinely avail deductions, exemptions, and concessional rates that the Income-tax Act itself provides, backed by real investments and documentation. What is illegal is tax evasion — concealing income, claiming fake deductions, or not reporting gains. Aggressive structures created purely to dodge tax can be disregarded under anti-avoidance rules, but honest, documented planning done ahead of time is legitimate and encouraged.

Start by comparing the old and new regimes for your income level, because the regime choice alone can change your tax significantly. Under the old regime, use 80C (EPF, PPF, ELSS, life insurance) up to ₹1.5 lakh, claim 80D for health insurance, HRA if you pay rent, home-loan interest under Section 24(b), and an extra ₹50,000 through NPS under 80CCD(1B). Under the new regime, the standard deduction and lower slab rates do most of the work. Begin in April rather than March, spread investments across the year, and keep proofs ready to match your declarations.

Section 80-IAC gives eligible startups a 100% deduction on profits for three consecutive years out of the first ten years of business. To qualify, the entity must be a private limited company or LLP incorporated on or after 1 April 2016 and before 1 April 2030 (the window has been recently extended), have turnover of up to ₹100 crore in the relevant year, and hold DPIIT recognition plus an 80-IAC certificate from the Inter-Ministerial Board — DPIIT recognition alone is not enough, a separate approval application is required. Since you can choose which three years to claim, planning the timing around your profitable years makes a real difference.