The Central Board of Direct Taxes (CBDT) has established new deadlines for the compulsory selection of income tax returns (ITRs) for scrutiny. Tax officers must forward selected ITRs that meet specific criteria to the Directorate of Income Tax (Systems) by June 15, 2026. This internal deadline facilitates the subsequent issuance of tax notices.
The statutory deadline for the Income Tax Department to serve a notice under Section 143(2) for ITRs filed in the financial year 2025-26 is June 30, 2026. If no notice is issued by this date, the ITR generally cannot be picked for scrutiny under this section.
These deadlines are particularly relevant for cases involving recurring issues of law or fact that resulted in additions in earlier assessment years (CS05 category) or cases where specific information points to possible tax evasion, received from investigation wings or law enforcement agencies (CS06 category).
Taxpayers who identify errors in their filed returns are advised to review their documentation and consider filing a revised or updated ITR (ITR-U) if applicable, subject to additional tax and interest implications. Maintaining proper records and documentation is crucial, as the ability to furnish supporting evidence is key during scrutiny proceedings. If a notice has already been received, taxpayers should carefully evaluate it and respond with complete documentation, or furnish an updated return with applicable additional taxes and interest if an error is discovered.