Answer

1. F

   Facts

   CPC can add income that appears in Form 26AS, Form 16A or Form 16 but is missing from your return, after giving a prior intimation. If the income is really yours, the addition is correct.

2. P

   Provisions and law

   • Sec 143(1)(a), Income-tax Act 1961 (now Sec 270(2))Adjustments allowed in processing include arithmetical errors, incorrect claims apparent from the return, and income shown in Form 26AS, Form 16A or Form 16 but missing from the return.
   • Sec 143(1)(a), Income-tax Act 1961 (now Sec 270(2))No adjustment can be made without first telling you; a reply sent within 30 days must be considered.
3. A

   Analysis

   A common case is FD interest of ₹25,000 with TDS of ₹2,500. If you skipped it, the addition is correct, and you also get the ₹2,500 credit. If the entry belongs to your spouse as the real owner of a joint FD, or was reported twice, give AIS feedback and dispute it with proof. Report all income in future returns even if AIS misses it.

4. C

   Conclusion

   1. 1Find the added entry in 26AS or AIS.
   2. 2Decide if it is yours, someone else's, or a duplicate.
   3. 3If yours, accept and pay or let the refund adjust.
   4. 4If not yours, give AIS feedback and dispute through rectification or appeal.
   5. 5Keep bank or broker proof.

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