Inquiry notice before assessment: section 142(1) notice

Which law applies? The Income-tax Act, 2025 applies to the tax year 2026-27 onwards. Section 536(2)(c) of that Act says the repealed Income-tax Act, 1961 continues to apply to proceedings, including notices, assessment, reassessment, rectification, penalty and appeals, for any tax year beginning before 1 April 2026, that is the financial year 2025-26 (assessment year 2026-27) and earlier. Each notice page below gives both: the 2025 Act first, then the 1961 Act as printed by the Income Tax Department on 22 May 2026. For the oldest assessment years (up to 2021-22) the reassessment time limits in force before 1 September 2024 may apply, and that earlier text was not read.

The Assessing Officer asks you to furnish a return you have not filed, to produce accounts or documents, or to give information in writing.

What it means under the Income-tax Act, 2025 (tax year 2026-27 onwards)

Section 268(1) allows a notice to a person who has made a return, or for whom the time to file has expired, requiring a return of income, the production of accounts or documents, or written information on points or matters, including a statement of all assets and liabilities. A statement of assets and liabilities not included in the accounts needs the Joint Commissioner’s prior approval, and accounts older than three years before the relevant tax year cannot be demanded (section 268(2)). In complex cases the officer may, with approval, direct an audit by an accountant or a valuation (section 268(5)).

Time limits under the 2025 Act

The date to respond is the one specified in the notice. The Act does not fix a number of days.

Under the Income-tax Act, 1961 (tax years before 2026-27)

Section 142(1). Section 142(1): a notice requiring a return to be furnished (where none was filed), accounts or documents to be produced, or information to be given in writing, including a statement of all assets and liabilities. The Joint Commissioner's previous approval is needed for a statement of assets and liabilities not in the accounts, and no accounts of a period more than three years before the previous year can be required. Under 142(2A), with approval, the officer can direct an audit by a nominated accountant in complex cases.

Time limits. The date specified in the notice. The Act text does not fix a number of days.

What to do first

Read exactly what is asked: a return, accounts, documents or information.
Note the date and any approval the notice mentions.
Furnish what is asked in the form required on the portal.
If the request seems to reach accounts older than three years before the tax year, say so in your reply.

An outline for a reply

Acknowledge the notice, provide the items asked in the order asked, and where something cannot be provided say why and what you can provide instead.

This is a general outline, not a reply to your own notice: facts and documents differ, and the deadline is short. Ask a chartered accountant.

Common questions

What section of the new Act replaces section 142(1)?

Section 268 of the Income-tax Act, 2025, for the tax year 2026-27 onwards. For earlier tax years the 1961 Act continues to apply to notices (section 536(2)(c)) and the notice quotes section 142(1) of that Act.

Source

The Income-tax Act, 2025, as published in the Gazette of India Extraordinary: sections 252, 263, 268, 270, 279 to 282, 287, 289, 357, 358, 411, 412 and 536. The enacted text was read on 13 November 2026.
The Income-tax Act, 1961 (text with amendments, printed by the Income Tax Department on 22 May 2026): sections 133, 139(9), 142, 143, 148, 148A, 149, 150, 154, 156, 220 and 249(2). Downloaded from incometaxindia.gov.in and read on 13 November 2026.
Old-section to new-section mapping: the Income Tax Department’s section navigator, checked against the Act (see the Income-tax Sections section of this family).

Rules read on 13 November 2026 from the Income-tax Act, 2025. This site explains notices in general terms. It is not legal advice and does not replace a chartered accountant or tax lawyer. A notice has a deadline: do not rely on a web page for your own case, and ask a professional soon.