REFUND OF EXCESS TAX BY IT DEPARTMENT
IT departments has asked its officials to refund excess tax to tax payers even if they are hit by limitation period of 4 years. CBDT ( Central Board of Direct Taxes) has issued circular to assessing officers regarding issuing excess amount after due verification, so adjusted by CPC (Central Processing Centre at Bengaluru) due to inaccurate figures of arrear demand uploaded by assessing officer.
This circular will also help assessing officers in resolving disputes regarding arrear demands shown as outstanding against them in records and refund the excess tax collected.
Under the existing provisions of the Income Tax Act, the assessing officer cannot look into refund cases which are more than four years old. Now tax payers will be relaxed and can now get their refund even after 4 years.