Refund under section 239 of Income-tax Act, 1961. - Income Tax - 1251/CBDT

INSTRUCTION NO. 1251/CBDT Dated : April 12, 1979 A claim for the refund under section 239 of the Income-tax Act, 1961 is to be made by a person including a salaried employee in Form No.30 along with the return of the income and certificates of the tax deducted at source unless such a return has already been filed. The claim is to be filed before the Income-tax Officer having jurisdiction over such persons and is to be disposed of within the time prescribed under section 153. 2. The Department of Personnel and Administrative Reforms carried out a study of the procedure relating to the payment of refunds. The study revealed, among other things, that the refund claims in the Salary Circles are not dealt with expeDitiously. In view of this it has been recommended that the refund claims filed in the prescribed forms should be taken up and disposed of on a priority basis in these Circles. 3. The Board had examined the question of expeditious issue of refunds on many occasions. In order to keep a proper watch on the disposal of refund applications, a separate register is to be maintained by the Income-tax Officers for this purpose. (Para 14 of Chapter XVII of the Office Manual Vol. II, Section II refers). With a view to expedite the settlement of refund claims, in general, separate Pure Refund Circles have been set-up at important centres. A proforma of monthly statement of refunds which forms part of the Monthly Progress Report has also been prescribed by the Board. Time and again, the importance of the expeditious disposal of the refund applications has been stressed but without any appreciable improvement. It appears that the Income-tax Officers do not have proper control over this aspect of the work as the prescribed register for the refund claims is either not maintained at all or is not properly maintained by all of them specially officers of the Salary Circles. The non-maintenance of such a register leads to delay in grant of refunds and consequential complaints/representations to the Board. The Board desire that all the Income-tax Officers including that of Salary Circles should properly maintain separate registers as prescribed for the refund claims filed in Form No.30. It is further desired that such cases should be disposed of expeditiously and on priority basis. The Income-tax Officers, Salary Circles, may be specifically asked to take up such claims on priority basis as a large number of refund claims are filed in these Circles. 4. The expeditious disposal of refund claims will not only save the Department from paying interest, if any, but will lead to a greater satisfaction to the assessees and will improve the image of the Department. 5. The above instructions may kindly be brought to the notice of the officers working in your charge. The Commissioners are also requested to please ensure that all the officers maintain the prescribed register properly and dispose of such cases expeditiously.