Rectification Return under Section 154(1)

What is rectification return?

Rectification of income tax return gives you and the income tax officer the same right to make corrections in return.

You can seek corrections after 4 years from the end of the financial year. (from receiving of order/ intimation sought to be rectified)

When to file rectification return?

A rectification return will be filed, when a tax payer missed to report any type of his income at the time of filing.

Once the tax payer filed his tax return, the income tax department have to process the return and send the intimation, if there is any mismatch the demand amount will be reflected.

In this case, tax payer have 2 options:

1: Agree with the demand and pay the taxes.

2: File a rectification return.