Reply to High-Value Transaction Notice
To,
[The Assessing Officer / Income Tax Department]
[Designation]
Ref: Communication No. [DIN / Reference Number] dated [Date]
Subject: Response regarding high-value transactions reported in AIS/SFT for F.Y. [Financial Year]
Respected Sir/Madam,
I, [Name of Assessee], PAN [PAN], am in receipt of the communication seeking explanation for high-value transactions reflected in my Annual Information Statement (AIS) for F.Y. [Financial Year], namely [transaction, e.g., cash deposit / property purchase / mutual fund investment] of Rs. [Amount].
I respectfully clarify that the said transaction is duly explained and sourced from [source, e.g., disclosed income / matured investments / sale of asset / accumulated savings]. The transaction has been accounted for and, where taxable, offered to tax in the return of income for the relevant year.
Bank statements, contract notes and the computation of income evidencing the source are enclosed. I request that the explanation be accepted and the matter be treated as satisfactorily resolved.
Yours faithfully,
[Name/Authorised Signatory]
[PAN/GSTIN]