Answer

1. F

   Facts

   For tax year 2026-27 onwards, defective returns are dealt with under Sec 263(7) of the Income-tax Act 2025, with conditions in Rule 166 of the Income-tax Rules 2026. Returns for FY 2025-26 and earlier still follow Sec 139(9) of the Income-tax Act 1961.

2. P

   Provisions and law

   • Sec 263(7), Income-tax Act 2025 (old Sec 139(9))Return can be treated as defective; 15 day window with power to condone delay.
   • Rule 166, Income-tax Rules 2026Sets the conditions under which a return is defective under Sec 263(7).
3. A

   Analysis

   Most defective notices issued in 2026 are for returns of FY 2025-26 or earlier, so they will cite Sec 139(9) of the 1961 Act. Your first return under the 2025 Act will be for tax year 2026-27, filed in 2027, and any defect in it will be raised under Sec 263(7). The basic idea stays the same: fix the defect within the time or the return can be treated as invalid. Always quote the section printed on your notice in your reply.

4. C

   Conclusion

   1. 1Check the assessment year or tax year on the notice.
   2. 2Quote the exact section printed on the notice in your response.
   3. 3Follow the same e-Proceedings steps to respond.
   4. 4Ask a CA if the notice cites a section you cannot match.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.