Compliance of section 245 required before adjusting refunds; Assessing Officer must respond within prescribed time. Strict compliance with section 245 is mandated before adjusting any refund: CPC Bengaluru must issue prior intimation, the assessee must be given an opportunity to respond, the Assessing Officer must examine and communicate findings to CPC, and CPC will process refunds and adjust demands only after receiving the Assessing Officer's communication; officers must ensure adherence to this procedure.