Chapter: XX — Refunds Sections: 431–438 Old Act equivalent: Sections 237–245 of IT Act 1961 Status: ✅ Fully ingested (8 files)
Sections
| Section | Heading | Page |
|---|---|---|
| 431 | Refunds | s431-refunds |
| 432 | Person entitled to claim refund in certain special cases | s432-refund-special-cases |
| 433 | Form of claim for refund and limitation | s433-refund-form-limitation |
| 434 | Refund for denying liability to deduct tax in certain cases | s434-refund-denying-tds-liability |
| 435 | Refund on appeal, etc. | s435-refund-on-appeal |
| 436 | Correctness of assessment not to be questioned | s436-correctness-not-questioned |
| 437 | Interest on refunds (s.244A equivalent) | s437-interest-on-refunds |
| 438 | Set off and withholding of refunds in certain cases | s438-set-off-withholding-refunds |
Key Concepts
- Interest on refunds (s.437): 0.5% per month simple interest from specified date to date of refund. Period of delay attributable to assessee excluded.
- Set-off (s.438): AO may set off refund against outstanding demand for tax, interest, penalty, or fee.
- Withholding (s.438): Refund may be withheld up to 60 days from assessment/reassessment with PCIT/CIT prior approval.
- Automatic refund on appeal (s.435): No separate claim needed when appellate order reduces tax.
Related Topics
- Section 423 — interest for late return (234A) — often offset against refund interest
- Section 411 — demand notice (refund set-off context)
- Appeals — refund consequent on appellate orders
- Section 424 — advance tax interest (234B)