Expecting a Tax Refund but Got a Demand? Understand Your 143(1) Notice  

Introduction

If you were expecting a refund after filing your Income Tax Return but instead got a demand notice, you’re not alone. This situation happens when the details in your return don’t fully match the Income Tax Department’s records.
The notice you receive is called an Intimation under Section 143(1). It is not a penalty or legal action, but an automated communication after system checks. In this blog, we’ll explain why a refund can turn into a demand, what Section 143(1) means, how to check your intimation, how it differs from Section 143(2), and how Ebizfiling can guide you through the process.

What is Section 143(1) and Why is it Important?  

Section 143(1) intimation is a summary issued after automated checks. It compares your ITR with records like Form 26AS, AIS, and employer filings. It shows:

• If your return was accepted,

• Any corrections made,

• Whether you get a refund, or

• If you now owe tax.

This is the first official communication after filing. It is not a scrutiny notice, and you don’t need to explain unless a demand arises.

How is Section 143(1) Different from 143(2)?  

143(1) is routine and automated, while 143(2) indicates detailed manual scrutiny.

How to Download and Check Your Section 143(1) Intimation  

1. Login – Go to Income Tax Portal and log in with PAN, password, and Captcha.

2. View Filed Returns – Click ‘e-File’ > ‘Income Tax Returns’ > ‘View Filed Returns’ and download the intimation.

3. Open PDF – Use your PAN (lowercase) + Date of Birth (DDMMYYYY) as password.

4. Review Comparison Table – Check “As provided by taxpayer” vs “As computed under 143(1)” for income, deductions, TDS, and final tax outcome.

What to Do If the Demand is Incorrect  

• Check Form 26AS and AIS: Ensure claimed TDS/advance tax appears.

• Compare With ITR: Verify income and deductions filed.

• Respond Online: Accept and pay demand, or disagree and respond with proof.

• File Rectification (u/s 154): If the error was in your original ITR, file a rectification request online.

 How Ebizfiling Helps With Income Tax Demand 143(1)  ?

• Step 1: Review – We analyze your 143(1) intimation, ITR, and supporting documents.

• Step 2: Reconciliation – Compare with Form 26AS, AIS, and Form 16 to find mismatches.

• Step 3: Corrective Action – File rectification, respond to demand, or assist with payment.

• Step 4: Follow-Up – Handle all communication with the Income Tax Department until resolved.

With expert support, you save time, avoid mistakes, and ensure compliance

Conclusion  

Getting an Income Tax Demand 143(1) instead of a refund may feel confusing, but in most cases, it’s just a data mismatch or missing entry. By carefully checking your intimation and taking the right action, you can fix it easily. If you’d rather not handle the process yourself, Ebizfiling can step in and resolve the demand quickly and professionally.

Suggested Read :

Understanding Intimation Notices: Section 143(1) Explained

Interpreting Income Tax Notices: Documents & Reply

How to Verify the Authenticity of Income Tax Notices

Types of Income Tax Notices Issued in India

FAQs