Income Tax Refund
Income Tax refund arises in case of a mismatch between the tax amount paid and the actual payable amount. If the amount paid is higher than the actual amount payable, a refund is initiated. The Form 30 is used for the same purpose.
Under the income tax and other Direct tax laws, tax refunds arise in those cases where the amount of tax paid by a person (or paid on his/her behalf) is greater than the amount on which he/she is properly chargeable. This is noted under Sections 237 to 245 of the Income Tax Act, 1961.
Who is eligible for Income Tax Refund?
There are many cases wherein you will be eligible for a refund. Some of them are:
- If the tax you’ve paid in advance on the basis of self-assessment is more than the tax payable on the basis of regular assessment.
- If your TDS from salary, interest on securities or debentures, dividends, etc. is higher than the tax payable on the basis of regular assessment.
- If the tax charged, based on regular assessments, gets reduced because an error in the assessment process was resolved.
- The same income is taxed in a foreign country (with which the government of India has an agreement to avoid double-taxation) and in India as well.
- If you have investments which offer tax benefits and deductions that you have not declared.
- If you find, after considering the taxes you’ve paid and the deductions you are allowed, that the tax paid amount is in the negative.
WE AT ONLINEFILING ASSIST YOU WITH THROUGH OUR PROFESSIONALS FOR GETTING YOU EASE.