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Reply to Scrutiny Notice Under Section 143(2) — Draft Template

Draft reply for scrutiny notice under Section 143(2) selecting the case for detailed examination. Template with compliance notes. Illustrative only.

Vikas SharmaTax & Compliance Expert
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Topic
Income Tax
Published
March 24, 2026
Last updated
Mar 24, 2026
Reading time
5 min
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Last updated: March 2026Verified against: Government sources

Reply to Scrutiny Notice explained: this guide covers what Reply to Scrutiny Notice means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.

Reply to Scrutiny Notice Under Section 143(2) — Draft Template

Ready-to-use draft reply template for scrutiny notice under Section 143(2) selecting the case for detailed examination under the Income Tax Act. Includes format, legal references, and compliance notes. Illustrative only — customize based on your specific case facts and professional advice.

Illustrative Only
This draft is for educational purposes. Every case has unique facts. Customize with help of your Chartered Accountant or Tax Advocate. TaxClue accepts no liability.
Notice Reference
Section: Section 143(2)
Response Deadline: As specified in the notice (typically 15-30 days)
Filing: E-filing portal (incometax.gov.in) → Pending Actions → Response to Notices

When Do You Receive This Notice?

scrutiny notice under Section 143(2) selecting the case for detailed examination is issued by the Assessing Officer / CPC when Section 143(2) provisions are triggered. You must respond within the time specified in the notice — failure to respond can result in best judgment assessment, penalty, and prosecution.

Draft Reply

To,
The Assessing Officer (Faceless Assessment)
National e-Assessment Centre (NeAC)

Subject: Response to Notice u/s 143(2) dated — PAN: — AY

Respected Sir/Madam,

In response to the scrutiny notice, I/we submit the following:

1. Return filed: ITR- filed on , declaring total income of Rs. .

2. Sources of income:

3. Computation of income:

4. Documents enclosed:
(a) Form 16 / Form 16A
(b) Bank statements
(c) Investment proofs (80C, 80D, etc.)
(d) Capital gains computation with sale deeds
(e)

I/we request a fair and judicious assessment based on the documents furnished.

| | Date:

Key Compliance Notes

Important: (a) Scrutiny is now faceless — respond ONLY through e-filing portal. (b) Do NOT visit any tax office or contact any officer directly. (c) Provide COMPLETE information — partial response leads to adverse inference. (d) Request video conference hearing if you want to explain complex issues orally. (e) Keep copies of ALL submissions. (f) Engage a CA/Advocate for complex cases.

Documents to Attach

#DocumentPurpose
1Copy of the notice receivedReference
2Copy of ITR filed for the relevant AYProof of filing
3Computation of income with supporting schedulesSubstantiation
4All documentary evidence supporting your positionEvidence
5Bank statements, Form 26AS, AIS for the relevant periodVerification
Response Tips
(1) Always respond within the deadline — non-response leads to adverse order. (2) Upload response on e-filing portal under Pending Actions. (3) Keep acknowledgment of submission. (4) Attach ALL supporting documents — incomplete response may be treated as non-response. (5) If time is insufficient, file adjournment request with reasons.
Quick recapKey facts & short answers

Key Facts About Reply to Scrutiny Notice

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes Reply to Scrutiny Notice end to end for you.

What is Reply to Scrutiny Notice?

Reply to Scrutiny Notice is an important compliance and legal topic for businesses and individuals in India. This guide explains its meaning, applicability and key requirements in simple language so you can understand and stay fully compliant.

Who needs to know about Reply to Scrutiny Notice?

Business owners, startups, professionals, and taxpayers dealing with Reply to Scrutiny Notice should understand the applicable rules. Requirements can vary by turnover, entity type and activity, so it is best to confirm your specific case before proceeding.

Do not copy last year's filing without checking whether last year's law still applies.

— TaxClue Compliance Desk

Reply to Scrutiny Notice: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

READY DRAFTReply to Scrutiny Notice u/s 143(2) — Template

A ready template reply to a section 143(2) scrutiny notice, confirming receipt, filing the return particulars, and responding point-wise to the reasons for selection.

TEMPLATE — REPLY TO NOTICE UNDER SECTION 143(2)
(File via e-Filing → Pending Actions → e-Proceedings)

Name of Assessee   : [Name of Assessee]
PAN                : [ABCDE1234F]
Assessment Year    : [A.Y. 20__-__]
Notice DIN & Date  : [DIN] dated [DD/MM/YYYY]
Nature of scrutiny : [Limited / Complete] — CASS
Response Date      : [DD/MM/YYYY]

To,
The Assessment Unit / Assessing Officer,
National Faceless Assessment Centre, Income-tax Department.

Subject: Reply to notice u/s 143(2) of the Income-tax Act, 1961 for
         A.Y. [20__-__] — reg.

Respected Sir/Madam,

1.  We acknowledge receipt of the notice u/s 143(2) dated [DD/MM/YYYY]
    selecting the case for [limited/complete] scrutiny on the issue(s) of
    [reason(s) as stated in the notice].

2.  The return for A.Y. [20__-__] was filed on [DD/MM/YYYY] (Ack. No.
    [___]) declaring total income of ₹[amount]; the same is enclosed with
    the computation and 143(1) intimation (Annexure-1).

3.  Point-wise reply to the issue(s):
    Issue 1: [reason] — [explanation] — Evidence: Annexure-[__].
    Issue 2: [reason] — [explanation] — Evidence: Annexure-[__].

4.  All the impugned transactions are recorded in the regular books, routed
    through banking channels, and the nature and source thereof stand fully
    explained. No addition to the returned income is warranted.

5.  We undertake to furnish any further details required and request that,
    before any adverse variation, a show-cause be issued and an opportunity
    of hearing (including video conferencing) be granted.

It is prayed that the returned income of ₹[amount] be accepted and the
scrutiny be completed accordingly.

Enclosures: Return & computation; audited accounts (if any); bank
statements; ledgers/confirmations; [others].

Yours faithfully,
For [Name of Assessee]

______________________________
[Signature — Assessee / Authorised Representative]
Name: [Name]   PAN: [ABCDE1234F]
Place: [City]  Date: [DD/MM/YYYY]
▸ How to use & important notes
  • A section 143(2) notice must be served within 3 months from the end of the FY in which the return is filed — verify timeliness; a late 143(2) makes the scrutiny void.
  • Respond issue-by-issue with annexures through the e-Proceedings tab; save the acknowledgement/transaction ID.
  • Seek adjournment online if you need time — never let a notice lapse unanswered, which can lead to best-judgment assessment u/s 144.

Disclaimer: This is a general-purpose template for reference only. Facts, figures, stamp duty and clauses vary with your situation and state law — have it reviewed before use. Need this professionally drafted, stamped and filed? Talk to a TaxClue expert.

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Vikas Sharma Verified expert Tax & Compliance Expert

Experienced in company registration, GST, trademark, and compliance. Helping Indian businesses stay compliant.

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Disclaimer: This article is for general informational and educational purposes only. Consult a qualified Chartered Accountant, Tax Consultant, or Advocate before acting. TaxClue Consultech Pvt Ltd accepts no liability. All drafts and templates are illustrative only.

People also ask

Questions, answered

Short, direct answers to the 7 questions readers ask most on this topic.

Reply to Scrutiny Notice is an important compliance and legal topic for businesses and individuals in India. This guide explains its meaning, applicability and key requirements in simple language so you can understand and stay fully compliant.

Business owners, startups, professionals, and taxpayers dealing with Reply to Scrutiny Notice should understand the applicable rules. Requirements can vary by turnover, entity type and activity, so it is best to confirm your specific case before proceeding.

Typical documents include PAN, identity and address proof, business registration proof, and any category-specific forms. The exact checklist depends on your situation — TaxClue experts can prepare the correct set for Reply to Scrutiny Notice and help you avoid rejections.

The process generally involves preparing documents, filing the correct form on the relevant government portal, paying applicable fees, and tracking status until approval. Following the right sequence for Reply to Scrutiny Notice helps avoid delays and penalties.

Yes. Late or non-compliance related to Reply to Scrutiny Notice can attract penalties, interest or late fees, and some filings have strict due dates. Staying on schedule protects you from avoidable costs — TaxClue sends timely reminders.

In most cases yes, Reply to Scrutiny Notice can be handled online through the official government portal. TaxClue can complete the end-to-end process for you digitally, so you don't have to visit any office.

TaxClue's CA, CS and legal experts handle Reply to Scrutiny Notice end to end — eligibility check, documentation, filing, and follow-up. Refer to Income Tax Department for official rules, and contact TaxClue for hands-on, affordable assistance.

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