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Guidance Note – Form 139
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....uidance Note – Form 139<BR>Income Tax<BR>Dated:- 2-4-2026<BR><BR>Form No. 139 (Earlier Form No. 26B) Form No. 139: Form to be filled by the deductor, if he claims refund of sum paid under Chapter XIX of the Income-tax Act, 2025 Name of form as per I.T. Rules, 1962 26B Name of form as per I.T. Rules, 2026 139 Corresponding section of I.T. Act, 1961 200A & 206CB Corresponding section of I.T. Act, 2025 399(1)(f) Corresponding Rule of I.T. Rules, 1962 31A(3A) Corresponding Rule of I.T. Rules, 2026 219(6) Purpose: This form entitles the deductor/collector to claim refund of the excess amount of TDS/TCS paid. As per Rule 219(6) of the Income-tax Rules, 2026: "Where a person has paid to th....
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....e credit of the Central Government any sum under Chapter XIX-B in excess of the amount required to be paid, he may claim refund of such excess by filing an application in Form No. 139 electronically to the Director General of Income-tax (Systems) or the person authorised by him." This may arise due to errors like duplicate deductions, deduction at higher than applicable rates or overpayment. Who should file: Any Deductor (under TDS) or Collector (under TCS) or Taxpayer (for refund related to tax deducted under section 393(1) [Table: Sl. Nos. 2(i), 3(i), 6(ii) and 8(vi)]) who has: 1. Deposited tax in excess of actual liability due to: • Duplicate payments, • Incorrect challan details, â€....
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.... Excess deduction due to calculation error, or • Rectified demand adjustments, etc.; and 2. Whose TDS/TCS statement has been processed by CPC-TDS (TRACES), and such excess payment is available as an unmatched / unconsumed challan credit in the system. Only registered TAN/PAN holders on TRACES Portal are eligible to file Form No. 139. Frequency & Due Dates: • Form No. 139 can be filed at any time after the corresponding TDS/TCS statement has been processed and excess payment is available for refund. Structure of Form No. 139: 1. Part A: Particulars of the Deductor/Collector • Name, Address, PAN, TAN (if applicable) and Contact Details • Bank Account Number, IFSC ....
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....Code, Type of Account (as applicable) and Legal Entity Identification Number (if applicable) 2. Part B: • Details of sum paid for which Refund is being claimed: Challan Identification Number (CIN) [BSR Code, Date of Deposit, Challan Serial No.] and Challan Amount. • Detail of sum paid under Chapter XIX by the deductor/collector for which credit has been claimed in the statement: Tax Year, Statements in which challan has been utilised, Receipt number/Acknowledgement number of relevant statements and Amount utilised in statement. • Amount of refund claimed. 3. Declaration: • Declaration by Deductor/Collector/Taxpayer that claim is true and excess amount has not been claimed....
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.... elsewhere. • Digital Signature of Authorised Signatory. Documents/details required to file the Form No. 139: To file Form No. 139 electronically, the following are generally required: • Copies of challan through which excess TDS/TCS paid. • PAN/TAN details. • Details of statements in which tax credit has been claimed, if applicable. • Justification for refund. • Bank details with supporting proof. Filing Count: On average, about five thousand refund requests have been filed annually over the last five years. Process flow of filing Form No. 139: 1. Login • Deductor/Collector/Taxpayer logs in to TRACES using TAN/PAN creden....
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....tials. 2. Request for Refund • Navigate to 'Refund' → 'Request for Refund'. • Select Tax Year, Quarter, and Form Type (138, 140, 141, 143 & 144). 3. Select Challan for Refund • System displays available challans with unconsumed balance. • Select appropriate challan(s) and specify reason for refund. 4. Form No. 139 Generation • TRACES generates Form No. 139 pre-filled with challan data. • Download, review, and sign digitally with DSC. 5. Refund Processing • TDS Assessing Officer or Range head approves the application depending upon the amount of refund in the application. • After approval by field f....
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....ormation, CPC-TDS processes the refund. • Refund is credited to the validated bank account via CPC-Refund Bank. 6. Rejection of Application: Refund request may be rejected for following reasons: • Claim is made for more than the amount of maximum available amount in challan. • Mismatch in Bank details. • Any other reasons Outcome of Processed Form No. 139: For Deductor / Collector/Taxpayer • Refund of excess TDS/TCS credited electronically to the registered bank account. • Status can be tracked on TRACES ("Refund Status"). • Refund may be adjusted against any outstanding demand before issue. For Department / System ....
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.... • CPC-TDS automatically updates the challan balance and marks it as "Refunded". • Helps maintain accurate credit reconciliation across statements. Brief Note on Qualitative Changes made: • The revised Form No. 139 aims to make refund claims faster, accurate, and system-driven through automation and integration. • The form will be a smart one to enhance user experience and providing ease of filing through a. auto-population/pre-filling of relevant details using information available from the Deductor's/Taxpayer's TRACES profile. b. real time validations & error handling c. facility to claim multiple challans in one Form, instead of filing separate forms for each quar....
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....ter or section, where applicable. d. drop downs & date pickers e. integration with APIs & Databases f. Check box based smart verification g. Standardization of name & address fields etc. Common Changes made across Forms: • To make Forms system-friendly and enable e-filing and uploading, certain anomalies found due to grouping of Name, Designation, Address and PAN have been separated into different boxes. • Assessment / Financial / Previous year or years have been replaced with Tax year or years, wherever appearing in the Form/Annexure. • Changes in Sections, Clauses and Schedules have been aligned as per the Income-tax Act, 2025. • Currency symbol "Rs....
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....." has been replaced with "Rs.". =============<BR> News - Press release - PIB....