Section 245 notice: refund adjusted against a demand
When to reply
Respond on the e-filing portal within 30 days: agree, or disagree with proof that the demand was paid or reduced.
If it's missed
The refund is adjusted against the demand.
What to collect from the client
- 1
Proof of tax already paid
Challans or the order showing the demand was paid or reduced.
- 2
Do you agree with the demand being adjusted? question
General guidance, not legal advice. Every notice is different: go by the section, dates and instructions in the notice itself. Check its DIN with the Authenticate notice/order service on the income tax portal. Section numbers here are from the Income-tax Act, 1961; the Income-tax Act, 2025, in force from 1 April 2026, numbers them differently, so a newer notice may cite another section.
Other income tax notices
Track this notice to its reply-by date
Upload the notice and IntegralChase reads the section, PAN or GSTIN, year, DIN and reply-by date, reminds you 7, 3 and 1 day before, and sends the client this list in one click. First month free, no card.