Income tax intimation under section 143(1): what it means, and what to do if it shows a demand or a lower refund
An intimation under section 143(1) is the Income Tax Department's (CPC's) result after processing your return. It compares your figures with the department's and ends in one of three ways: no change, a refund, or a demand. Before that, you may get a 143(1)(a) notice of *proposed* changes. Reply within 30 days under Pending Actions → e-Proceedings (agree or disagree). If the final intimation shows a demand you dispute, answer under Pending Actions → Response to Outstanding Demand. If it has a mistake, file Rectification (Services → Rectification) within 4 years. Don't ignore it: an unanswered demand is confirmed and adjusted against your refunds.
Key facts Last verified: 9 Oct 2026
| Item | Details | Source |
|---|---|---|
| 143(1)(a) adjustment notice | Proposed changes during processing when your return differs from department data; respond within 30 days | Income Tax Dept — e-Proceedings user manual |
| Where to respond | Pending Actions → e-Proceedings → View Notice → Submit Response (Agree / Disagree for each item) | Income Tax Dept — e-Proceedings user manual |
| Defective return notice 139(9) | Usually 15 days to fix, or the return can be treated as invalid | Income Tax Dept — e-Proceedings user manual |
| Outstanding demand | Pending Actions → Response to Outstanding Demand; if you don't respond, the demand is confirmed and adjusted against refunds | Income Tax Dept — Outstanding Demand FAQ |
| Rectification time limit | Within 4 years from the end of the financial year in which the 143(1) intimation was passed (later: to the Assessing Officer) | Income Tax Dept — Rectification FAQ |
| AY 2026-27 returns | Processed under the Income-tax Act, 1961 (old section numbers apply) | Income Tax Dept — Income Tax Returns FAQ |
Vikas filed his return in July and was expecting a refund of ₹14,000. In September an email arrived: "Intimation u/s 143(1)", showing a demand of ₹6,200 instead. He panicked. It turned out the department had counted FD interest from his AIS that he had left out. He agreed, paid it, and the matter closed. His colleague's intimation was simply wrong (a TDS credit was missed), and she fixed it with a rectification request. The key is to read it, compare it, and respond.
The three kinds of messages, and what to do
| What you get | What it is | Time to act | Where |
|---|---|---|---|
| Notice u/s 143(1)(a), "prima facie adjustment" | A proposal to change your return before processing, because your figures differ from the department's data | 30 days | Pending Actions → e-Proceedings |
| Intimation u/s 143(1) | The final result of processing: no change, refund, or demand | Act if there is a demand or mistake | Email + e-filing portal |
| Notice u/s 139(9), "defective return" | Your return has missing or inconsistent information | Usually 15 days | Pending Actions → e-Proceedings |
How to read the intimation
The intimation sets your figures (as filed) next to the department's figures (as computed on processing), line by line: income, deductions, tax, TDS, interest. Look at the last line:
- Net amount payable = 0 → nothing to do.
- Refund → it will be paid to your pre-validated bank account. If it doesn't arrive, see refund not received.
- Demand → find which line differs. Common causes: interest income in AIS left out, a deduction not allowed, TDS credit missing, relief u/s 89 claimed without Form 10E, or self-assessment tax challan details wrong.
Got a 143(1)(a) adjustment notice? Reply within 30 days
- Log in to incometax.gov.in → Pending Actions → e-Proceedings.
- Click View Notice next to *Adjustment u/s 143(1)(a)* and download the notice.
- Click Submit Response. For each difference (variance), choose Agree or Disagree.
- If you disagree, choose the reason and explain briefly. Then submit.
- Note the Transaction ID. You also get an email confirmation.
You can also choose to file a revised return instead, if you realise your return had a mistake.
Final intimation shows a demand you don't agree with
- Go to Pending Actions → Response to Outstanding Demand.
- Choose Disagree with demand (fully or partly), pick the reason(s) and give details. If no listed reason fits, choose Others.
- If you agree with part of it, pay that part with Pay Now (net banking, debit card, UPI/payment gateway, NEFT/RTGS or at the bank counter).
- If the intimation itself has an error, also file a rectification (below).
Don't ignore a demand. If you don't respond, the demand is confirmed. It is adjusted against your future refunds, or stays as payable against your PAN.
Rectification: when the department made a mistake
Use Services → Rectification → (order passed by CPC) on the e-filing portal. Three types:
| Type | Use it when |
|---|---|
| Reprocess the return | You gave correct details (deduction, TDS, tax paid) but processing didn't allow them |
| Tax credit mismatch correction | TDS or challan details need correcting. You can't claim credit that isn't in Form 26AS. See TDS not showing |
| Return data correction | Data needs correcting without new income or new deductions |
Rules to know: file it within 4 years from the end of the financial year in which the intimation was passed (after that, use *File rectification to AO*). You can't withdraw a rectification once filed, and you can't file another for the same year until the first is processed. You get a 15-digit rectification reference number. It does not allow fresh deductions. For that you need a revised return, while the time limit allows.
Which law applies? Returns for AY 2026-27 (income of April 2025 – March 2026) are processed under the Income-tax Act, 1961, so the old section numbers (143(1), 154, 139(9)) apply even though the new Act started on 1 April 2026.
Frequently asked questions
What is an intimation under section 143(1)?
It is the Income Tax Department's result after processing your return. It compares your figures with the department's and shows no change, a refund or a demand.
What should I do if the 143(1) intimation shows a demand?
Check which line differs. If the demand is right, pay it. If not, respond under Pending Actions → Response to Outstanding Demand, and file a rectification if the intimation has a mistake.
How many days do I have to reply to a 143(1)(a) notice?
30 days from the date of issue, under Pending Actions → e-Proceedings.
What happens if I don't respond to an outstanding demand?
The demand is confirmed and adjusted against your refund, or shown as payable against your PAN.
What is the time limit for rectification of a 143(1) intimation?
Four years from the end of the financial year in which the intimation was passed. After that you can request rectification from the Assessing Officer.
Official links
Use only these government websites. HumainOne is not connected to any of them.
- e-Proceedings: respond to 143(1)(a) / 139(9)Step-by-step guide
- Respond to Outstanding Demand FAQDisagree, pay, view responses
- Rectification FAQTypes, 4-year limit, rules
- Income Tax helplinee-filing and CPC processing queries
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