ADMISSIBILITY OF REFUND CLAIM IN INCOME TAX

[KASTURI SETHI]

Dear Experts,

Please reply to my following queries :-

(1) What is the time limit for filing application for refund claim in Income Tax Act ?

(2) Can refund claim be filed for the financial year 21-22 now ?

(3) Is it mandatory to claim refund of Income Tax paid in excess by way of Income Tax Return ? Is there any other way-out ?

Thanks a lot.

AI Summary

Income tax refund: claim allowed only through filing returns; updated returns cannot be used to create or increase refunds.
A refund of excess income tax is obtainable only by filing an income tax return that discloses the tax credit; an updated return available within 24 months is permitted only when it increases tax liability. The updated return regime excludes returns of loss, decreases in tax liability, or any updated return that would result in or increase a refund, so it cannot be used to create or augment a refund omitted in the originally filed return. Discretionary condonation of delay and departmental supplementary refund procedures were identified as possible administrative remedies.