Just recently, the Central Board of Direct Taxes (CBDT) released standards for obligatory choice of tax return (ITRs) for total examination and in this regard defined 2 due dates, one for internal usage and the other for sending out tax notifications.
The 2 due dates are:
- June 15, 2026: (internal due date) Tax officers need to forward specific chosen ITRs which please particular standards to the Directorate of Income Tax (Systems) so that additional action can be taken.
- June 30, 2026: This is the due date for issuance of tax notification under Section 143( 2) for ITRs submitted in FY 2025-26.
This circular by CBDT is not in public domain and this reporter has actually seen a copy of it by means of sources.
What do these 2 due dates imply for taxpayers?
Chartered Accountant Suresh Surana states that based upon the CBDT standards, the 2 dates serve various functions. June 30, 2026 is the statutory due date for issuance/service of notification under Section 143( 2) for ITR submitted in FY 2025-26, whereas June 15, 2026 is an internal administrative due date relevant to particular classifications of mandatory examination cases.
Legal time frame for examination notification (June 30, 2026): Under Section 143( 2 ), the Income Tax Department need to issue/service an analysis notification within the recommended timeline.
The CBDT circular particularly repeats that for ITRs submitted in FY 2025-26, the due date for serving a Section 143( 2) notification is June 30, 2026. If no notification is provided by this date, normally the ITR can not be selected for examination under Section 143( 2) of the Income-tax Act, 1961.
Internal cut-off for tax officers in picked cases (June 15, 2026): The June 15 timeline is an internal administrative due date for field officers under CS05 and CS06 classifications. These classifications associate with:
- Cases including addition in an earlier evaluation year(s) on a repeating problem of law or truth and/or law and truth, such as repeating additions that have actually obtained finality or have actually been supported in favour of the Revenue (tax department) (CS05) and
- Cases associated with particular details relating to tax evasion, where inputs are gotten from examination wings, police, regulative authorities, or other reputable details sources indicating possible tax evasion (CS06).
The CBDT has actually directed jurisdictional officers to assemble and forward such cases to the Directorate of Income-tax (Systems) most current by June 15, 2026, so that analysis choice can happen and notifications released within the statutory due date of 30 June 30, 2026.
According to the circular, CS 05 is cases including big additions in earlier evaluation years to be scrutinised: Cases including earnings additions in earlier evaluation years on repeating concerns of law or truth consisting of earnings additions that goes beyond Rs 50 lakh in Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai and Pune, or Rs 20 lakh in other charges; and such addition has actually ended up being last or has actually been supported by appellate authorities in favour of Revenue.
CS 06 is cases connected to particular info concerning tax evasion: Cases where particular info showing tax evasion for the pertinent evaluation year is supplied by law-enforcement firms, Investigation Wing, Intelligence companies, Regulatory authorities, and so on, and the return for the appropriate evaluation year has actually been provided. ITRs submitted in reaction to see u/s 142( 1) connected just to AIS/SFT/CPC-TDS info will not be chosen unless they fall under CS 06.
Tax scrutniy notification can be sent out by June 30, 2026 to particular taxpayers
Rahul Jain, Partner at Khaitan & & Co, stated to ET Wealth Online: “The provisions of Section 143(2) (which are now replaced by Section 270(8) and Section 270(9) of the Income-tax Act, 2025) require the tax officer to serve the scrutiny notice on the taxpayer until the expiry of 3 months from the end of the financial year in which the tax return has been filed.”
Jain states that for ITR submitted in the fiscal year 2025-26, the external timeline for the tax officer to start the analysis procedures and serve the notification is 30 June 2026. If a taxpayer’s case falls within any of the specifications set out in the CBDT Circular, such a taxpayer might anticipate an examination notification to be gotten anytime till June 30, 2026.
What can taxpayers do if there is some mistake on their part and they are most likely to get an examination notification?
Surana states that taxpayers who recognize a mistake, omission or inequality in their return need to not presume that invoice of an examination notification is inescapable.
The earnings tax law likewise supplies systems to willingly fix authentic errors, and proactive compliance is usually seen more positively than waiting for department action.
According to Surana, where the ITR has actually currently been submitted, taxpayers ought to initially evaluate the ITR with their books of account (if suitable), Form 26AS, AIS/TIS, bank declarations, capital gains declarations and other supporting records to determine the nature and level of the disparity.
Surana states: “If the error pertains to omission of income, incorrect claim of deduction, reporting mismatch or any other bona fide mistake, the taxpayer can consider filing a return ITR or updated ITR (ITR-U) subject to applicable conditions and additional tax implications.”
Surana states that taxpayers require to ensure that they have enough paperwork to support the claims made in their returns.
Surana states: “Many scrutiny cases arise not merely because of a tax adjustment but because the taxpayer is unable to furnish supporting evidence when called upon by the Department.”
Keeping correct records, reconciliations and descriptions can considerably reinforce the taxpayer’s position if a notification is ultimately provided.
What can taxpayers do if there is any mistake in thier ITR however analysis notification has not yet been sent out for FY 2025-2026?
Given that the timeline to modify the ITR applied for FY 2025-2026 is over, so the chance to remedy the mistakes has actually lapsed.
Jain states that if the taxpayers think particular mistakes might have happened at the time of submitting the ITR on a bonafide basis, suitable description backed up by documentary proof might be provided throughout the examination earnings and pay the incremental taxes (if any) along with relevant interest, to prevent any chastening repercussions.
Jain states: “The tax provisions also provide an alternative mechanism to file an updated tax return prior to receipt of the scrutiny notice, to correct the errors but with payment of an additional amount equivalent to 25% of the incremental taxes and interest liability.”
What can taxpayers do if they currently have got an examination notification for FY 2025-2026?
The strategy would depend upon the truths of the case and the factor for examination. There can be 2 occasions: a) Tax notification is sent out incorrectly b) Tax notification is proper
Taxpayer thinks whatever is proper and tax notification is incorrect
Where the taxpayer thinks that the return is proper and all disclosures have actually been made, the analysis notification need to not be considered as a cause for issue.
According to Surana, choice of ITR for analysis does not indicate any misbehavior; it simply suggests that the Income-tax Department looks for information or confirmation of particular deals or claims.
Surana states: “In such cases, the taxpayer should carefully review the notice, identify the issues under examination, and submit complete and accurate supporting documentation within the prescribed timelines.”
Tax notification is appropriate and taxpayer has actually made a mistake
When the taxpayer consequently recognizes that there is a mistake, omission or inaccurate claim in the return, Surana states it is recommended to examine the degree of the direct exposure and appropriately react throughout the examination procedures.
In either circumstance, taxpayers need to thoroughly assess the notification, keep appropriate paperwork, and guarantee prompt compliance with all info demands provided by the tax authorities.”
