Resources / Tax Notice Guides / Section 148 & 148A

Income Tax Notice under Section 148 & 148A

A notice under Section 148 of the Income Tax Act is issued by the Assessing Officer (AO) when there is reason to believe that taxable income has escaped assessment. Under current tax laws, Section 148 notices are preceded by an inquiry and show-cause notice under Section 148A(b).

Written & Reviewed By:Acharya Tax Litigation & Notice Division|Chartered Accountant (ICAI)
Last Updated: September 2026

Disclaimer: This content is for general informational purposes only and does not constitute personalized legal or financial advice. For specific tax filings or audits, consult our qualified accountants directly.

Key Stages of Section 148 Reassessment

  1. Section 148A(b) Show-Cause Notice: The Assessing Officer provides information suggesting income escaping assessment and asks you to show cause why a 148 notice should not be issued.
  2. Submitting the 148A Reply: You must submit a detailed response within the given timeframe (usually 7 to 30 days) along with supporting bank statements, property sale deeds, or investment proofs.
  3. Order under Section 148A(d): The AO decides whether it is a fit case for issuing Section 148 notice.
  4. Filing ITR in Response to 148: If Section 148 is issued, you are required to submit an income tax return within the specified deadline.

Common Triggers for Section 148 Notices

  • • High-value immovable property purchases/sales not matching declared income.
  • • Unreported foreign bank accounts, offshore assets, or NRI cash deposits.
  • • High-value stock trading, F&O transactions, or crypto gains reported in SFT data.
  • • Mismatches identified between AIS/TIS figures and filed ITR computations.

Received a Section 148 or 148A Show-Cause Notice?

Reassessment notices require precise legal draftings and evidence reconciliation. Consult our Chartered Accountants for specialized notice handling and portal responses.

Consult CA for Section 148 Reply