Income Tax - refunds up to Rs. 5000 - No Adjustment against arrears
THE CBDT has directed that in order to provide relief to the small taxpayers, refunds up to Rs. 5,000/- and refunds in cases where arrear demand is up to Rs. 5,000/- may be issued without any adjustment of outstanding arrears under section 245 of the Act during FY 2015-16.
As on 09.01.2016, there are 64,938 cases of refunds below Rs.5,000/-involving Rs.1,148.14 Crore in non-CASS cases for AYs 2013-14 and 2014-15 pending in AST. Board wants the Assessing Officers to issue these refunds without any adjustment of arrears under Section 245. Similarly, the non-CASS cases for these assessment years where the refund amount is more than Rs.5,000/- but the outstanding arrear is Rs.5,000/- or less may also be processed for issue of refund without any adjustment under Section 245.
CBDT wants the above exercise to be completed before 31st January, 2016 and a compliance report to be sent to the Member (Revenue).
CASS = Computer Assisted Scrutiny Selection
AST = Assessment Information System
CBDT Office Memorandum in F. No. 312/109/2015-OT., Dated: January 14, 2016