Section 148 Notice in Patna Income Tax Section 148 Notice Procedure, Response & Documents

Income tax section 148 notice procedure — Section 148A precondition, faceless mandate and timeline

Every section 148 notice begins with the income tax section 148 notice procedure prescribed under Sections 147 to 151A of the Income Tax Act, 1961. The section 148 notice is served when the Assessing Officer has information suggesting that income chargeable to tax has escaped assessment[reference:0].

The section 148 notice requires the assessee to furnish a return within the period specified — not less than 30 days from the date of the notice and not exceeding three months from the end of the month in which the notice is issued[reference:1]. Before issuing any section 148 notice, the Assessing Officer must record reasons for doing so[reference:2].

Section 148A — the mandatory precondition to every section 148 notice

From 1 April 2021, no section 148 notice can be issued without first complying with Section 148A. The procedure under Section 148A unfolds in clearly defined stages[reference:3]:

• Section 148A(a) — the Assessing Officer conducts an inquiry, if required, with prior approval of the specified authority.
• Section 148A(b) — a show cause notice is issued explaining the basis of suspicion, giving the taxpayer 7 to 30 days to respond.
• Section 148A(c) — the Assessing Officer considers the taxpayer's reply.
• Section 148A(d) — the Assessing Officer passes a reasoned order determining whether the case is fit for reassessment, with prior approval of the specified authority.

Faceless mandate under Section 151A — every section 148 notice must be faceless

The e-Assessment of Income Escaping Assessment Scheme, 2022, notified vide CBDT Notification No. 18/2022 dated 29-03-2022, mandates that every section 148 notice and every order under Section 148A(d) must be issued through the Faceless Assessment Officer (FAO)[reference:4]. A section 148 notice issued by the Jurisdictional Assessing Officer (JAO) on or after 29-03-2022 is invalid as it suffers from a jurisdictional defect[reference:5].

Time limits for issuing a section 148 notice under Section 149

Section 148 notice response — filing the return, requesting reasons and filing objections

The section 148 notice response is the taxpayer's statutory reply to the reassessment proceedings. Unlike a demand notice, the section 148 notice does not create an immediate demand — it initiates proceedings. The section 148 notice response must be strategic and comprehensive.

Step 1 — File the return as required by the section 148 notice

The first step in the section 148 notice response is to file a return of income for the relevant assessment year, as required by the section 148 notice. Even where the original return was filed, a fresh return is required in response to the section 148 notice[reference:6].

Step 2 — Request the reasons recorded for the section 148 notice

After filing the return, the taxpayer should request a copy of the reasons recorded by the Assessing Officer before issuing the section 148 notice. The reasons are essential to understand the basis of the reassessment and to frame the section 148 notice response [reference:7].

Step 3 — File objections to the section 148 notice

The Patna High Court has consistently held that the noticee is entitled to file objections to the issuance of the section 148 notice [reference:8]. The objections must be filed in writing before the Assessing Officer and should address:

• Whether the section 148 notice is supported by reasons.
• Whether Section 148A was complied with before issuing the section 148 notice.
• Whether the section 148 notice was issued by the correct authority (FAO, not JAO).
• Whether the section 148 notice is within the time limits under Section 149.
• Whether the information relied upon is credible and supported by material.

Step 4 — Draft the point-wise reply on merits

Where the section 148 notice is valid, the taxpayer must file a point-wise reply on merits. Every figure in the return must be traceable to the section 148 notice documents. The reply should address each allegation in the reasons recorded, provide documentary evidence and explain why the income has not escaped assessment.

Section 148 notice documents — complete checklist for the reassessment reply

Compiling the complete section 148 notice documents is the foundation of a successful section 148 notice response . The documents required depend on the reasons recorded in the section 148 notice, but the following are typically required.

Mandatory section 148 notice documents

1. Acknowledgement of the section 148 notice along with a copy of the notice.
2. Copy of the Section 148A(b) notice and the Section 148A(d) order.
3. The income tax return for the relevant assessment year.
4. Acknowledgement of the return filed in response to the section 148 notice.
5. Computation of income for the relevant assessment year.
6. Form 26AS, Annual Information Statement (AIS) and Tax Information Statement (TIS)[reference:9].

Supporting section 148 notice documents

• Bank statements for all accounts for the relevant financial year.
• Purchase and sale invoices with GST returns where applicable.
• TDS certificates (Form 16/16A) and challans.
• Audited financial statements and tax audit report, if applicable.
• Loan agreements and confirmations from creditors.
• Property documents and investment proofs.
• Any other documents specifically referenced in the reasons recorded for the section 148 notice.

How section 148 notice documents are used in the response

Each section 148 notice document must be indexed and cross-referenced to the corresponding query in the reasons recorded. The section 148 notice documents should be filed as a compilation with the point-wise reply, so the Assessing Officer can verify each submission against the source document.

Patna High Court and ITAT Patna Bench — section 148 notice case law

The Patna High Court and the ITAT Patna Bench have developed a substantial body of authority on the section 148 notice that is directly relevant to Patna taxpayers.

Kishore Kumar Singh v. ACIT — section 148 notice must be supported by reasons

In Kishore Kumar Singh v. ACIT (2025) 305 Taxman 48 (Patna), the Patna High Court held that a section 148 notice must be supported by reasons. Where the notice issued under Section 148 was not supported by reasons, the Court quashed the notice[reference:10].

Patna HC — ₹12.50 lakh FDR wrongly reported as ₹12.50 crore

In a 2026 judgment, the Patna High Court quashed reassessment proceedings arising from a section 148 notice where Union Bank of India wrongly reported a fixed deposit of ₹12.50 lakh as ₹12.50 crore. The Court held that the Section 148A(b) notice was founded on incorrect information and the proceedings could not be sustained[reference:11].

Patna HC — non-response to invalid Section 148A(b) notice does not cure defect

The Patna High Court has held that incorrect information furnished in a Section 148A(b) notice, unsupported by any material, vitiated the proceeding under the section 148 notice. The fact that the assessee did not respond to the show cause notice would not make the invalid notice good[reference:12].

ITAT Patna Bench — section 148 notice and PAN issues

In Radical Fincap Pvt. Ltd. v. ITO (ITAT Patna), the Tribunal rejected a company's challenge to reassessment notices issued under a PAN different from the one used for filing returns, holding that both PANs belonged to the same company. The Tribunal separately restored the disputed additions for fresh examination[reference:13].

ITAT Patna Bench — Section 148 notice upheld

In Naubind Singh v. PCIT (2025) 474 ITR 193 (Patna), the Patna High Court held that the order under Section 148A(d) was not conclusive. The consequent section 148 notice having already been issued, the assessee was entitled to raise all contentions in reply to that notice[reference:14].

After the section 148 notice — post-reassessment remedies and next steps

Once the Assessing Officer completes the reassessment initiated by the section 148 notice and passes an order under Section 143(3) or Section 144, further remedies may be available.

Section 154 / 287 rectification after the section 148 notice reassessment

Where a mistake is apparent from the record in the reassessment order arising from the section 148 notice, a rectification application under Section 154 (now Section 287 of the Income Tax Act, 2025) may be filed within 4 years.

Form 35 appeal — CIT(A) challenge to the section 148 notice reassessment

A Form 35 appeal against the reassessment order arising from the section 148 notice lies before the Commissioner of Income Tax (Appeals) under Section 246A, within 30 days of service of the notice of demand.

ITAT Patna Bench appeal — second appeal from the section 148 notice reassessment

From the CIT(A) order, a second appeal lies to the ITAT Patna Bench under Section 253 within 60 days. The ITAT Patna Bench has extensive experience in reassessment matters arising from section 148 notices.

Patna High Court — writ and Section 260A remedies

A writ petition under Article 226 may be maintainable where the section 148 notice was issued without jurisdiction, without Section 148A compliance, by a JAO instead of FAO, or beyond the time limits under Section 149. A Section 260A appeal lies to the Patna High Court on a substantial question of law arising from the ITAT order.

Practical checklist for responding to a section 148 notice in Patna

1. Download the section 148 notice, the Section 148A(b) notice and the Section 148A(d) order from the e-filing portal.
2. Verify whether the section 148 notice was issued by the Faceless Assessment Officer (FAO) or the Jurisdictional Assessing Officer (JAO).
3. Check whether the section 148 notice is supported by reasons recorded.
4. Verify whether the section 148 notice is within the time limits under Section 149.
5. File the return in response to the section 148 notice within 30 days.
6. Request a copy of the reasons recorded for the section 148 notice.
7. File written objections to the section 148 notice within 30 days of receiving reasons.
8. Compile the section 148 notice documents — ITR acknowledgment, bank statements, Form 26AS, AIS, TIS, invoices and audit report.
9. Prepare a point-wise reply on merits addressing each allegation in the reasons recorded.
10. File the section 148 notice response through the e-filing portal within the deadline.
11. Assess whether a writ petition is maintainable against the section 148 notice.
12. Preserve all acknowledgments, portal screenshots and challans.

Frequently Asked Questions — section 148 notice in Patna