https://www.taxtmi.com/caselaws?id=276478 A refund due under the Income-tax Act could be adjusted against earlier tax arrears because the limitation on summary recovery proceedings did not extinguish the underlying liability. Section 46 was treated as a recovery mechanism only, while Section 49-A permitted set-off of any refund against tax remaining payable; the set-off was therefore valid even though coercive recovery under Section 46 was time-barred. The civil court bar also did not apply because the claim challenged only the legality of the adjustment of an admitted refund, not an attempt to set aside or modify an assessment. The adjustment was upheld and the suit was not barred. en-us Sat, 29 Mar 1941 00:00:00 +0530 Mon, 12 Nov 2018 17:15:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=276478 A refund due under the Income-tax Act could be adjusted against earlier tax arrears because the limitation on summary recovery proceedings did not extinguish the underlying liability. Section 46 was treated as a recovery mechanism only, while Section 49-A permitted set-off of any refund against tax remaining payable; the set-off was therefore valid even though coercive recovery under Section 46 was time-barred. The civil court bar also did not apply because the claim challenged only the legality of the adjustment of an admitted refund, not an attempt to set aside or modify an assessment. The adjustment was upheld and the suit was not barred. Case-Laws Income Tax Sat, 29 Mar 1941 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=276478