Rectification Application Under Section 154 — Draft Template

Rectification Application Under Section explained: this guide covers what Rectification Application Under Section 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.

Rectification Application Under Section 154 — Draft Template

Ready-to-use draft reply template for rectification of apparent mistake under Section 154 under the Income Tax Act. Includes format, legal references, and compliance notes. Illustrative only — customize based on your specific case facts and professional advice.

When Do You Receive This Notice?

rectification of apparent mistake under Section 154 is issued by the Assessing Officer / CPC when Section 154 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

Subject: Application for Rectification u/s 154 — PAN: — AY

Respected Sir/Madam,

I/we request rectification of the order/intimation dated under Section 154 on the following grounds:

Mistake apparent from record:
appearing in 26AS/AIS not given while processing return, deduction under Section 80C of Rs. wrongly disallowed, arithmetic error in computation]

Supporting evidence:
(a) Form 26AS showing TDS of Rs.
(b) Investment proof for Section 80C claim
(c) Correct computation of income

I/we request that the order be rectified and demand be reduced/refund be issued accordingly.

| | Date:

Key Compliance Notes

Key: (a) Rectification only for "mistake apparent from record" — not for debatable issues. (b) File online on e-filing portal (for 143(1) intimation: under Services → Rectification). (c) Time limit: within 4 years from the date of the order. (d) AO must dispose within 6 months. (e) If rectification request rejected, appeal to CIT(A) within 30 days.

Documents to Attach

TEMPLATE — RECTIFICATION APPLICATION UNDER SECTION 154
(File online: e-Filing → Services → Rectification, against the order.)

Name of Assessee   : [Name of Assessee]
PAN                : [ABCDE1234F]
Assessment Year    : [A.Y. 20__-__]
Order/Intimation   : u/s [143(1)/143(3)/154] dated [DD/MM/YYYY], Ref [___]
Passed by          : [CPC, Bengaluru / AO, Ward/Circle __]
Date               : [DD/MM/YYYY]

To,
The [ACIT (CPC), Bengaluru / Assessing Officer, Ward/Circle __],
Income-tax Department.

Subject: Application u/s 154 for rectification of mistake apparent from
         record in [order/intimation] dated [DD/MM/YYYY] for
         A.Y. [20__-__] — reg.

Respected Sir/Madam,

1.  The return for A.Y. [20__-__] was processed vide intimation u/s 143(1)
    dated [DD/MM/YYYY], raising a demand of / reducing refund by ₹[amount].

2.  The following mistake(s) apparent from record require rectification:
    (a) TDS credit of ₹[amount] (per Form 26AS, deductor TAN [___]) not
        allowed.
    (b) Advance/self-assessment tax of ₹[amount] (challan CIN [___] dated
        [DD/MM/YYYY]) not adjusted.
    (c) [Deduction u/s [80C/Chapter VI-A] / brought-forward loss of
        ₹[amount] omitted / arithmetical error].

3.  These are patent, non-debatable errors covered by section 154. A
    reconciliation with Form 26AS/AIS and challans is enclosed.

It is prayed that the said mistake(s) be rectified, the correct
credit/deduction of ₹[amount] be allowed, and the resultant refund
(with interest u/s 244A) be granted / demand deleted.

Enclosures: Intimation/order; return & computation; Form 26AS/AIS;
Form 16/16A; challans; reconciliation.

Yours faithfully,
For [Name of Assessee]

______________________________
[Signature — Assessee / Authorised Representative]
Name: [Name]   PAN: [ABCDE1234F]
Place: [City]  Date: [DD/MM/YYYY]