When calculating interest u/s 244A(1), if a refund is granted ...

Refund interest adjustment: Refund to adjust interest first, then principal. Fair methodology.

September 10, 2024

Case Laws Income Tax AT

When calculating interest u/s 244A(1), if a refund is granted earlier, it should be adjusted against the interest component first, and the remaining amount, if any, should be adjusted against the principal refund amount. This follows the same methodology as when part taxes are paid by the assessee, where it is first adjusted against the interest payable and then against the tax due. The CIT(A) rightly directed the Assessing Officer to examine the computation of refund, including interest u/s 244A. The impugned order is upheld, and the appeal is dismissed.

View Source

← Previous Next →

When calculating interest u/s 244A(1), if a refund is granted ...

Refund interest adjustment: Refund to adjust interest first, then principal. Fair methodology.

September 10, 2024

Case Laws Income Tax AT

You may also like:

Adjustment of part income-tax refund received by the assessee against the total outstanding refund, comprising of principal/ tax and interest - quantum of interest to...

The assessee claimed additional interest u/s 244A(1A) for the delayed refund. The AO incorrectly adjusted the refund against the tax component instead of first adjusting...

The Income Tax Appellate Tribunal held that the refund granted to the assessee should be first adjusted against the correct amount of interest due, and the remaining...

Interest on refund - refund made in part - Whether refund should have been first adjusted with the interest due on date of grant of refund, instead of being adjusted...

Computation of refund and interest thereon under section 244A - The present case is not a case where interest on interest due was claimed by the assessee. The issue...

Accrual of interest income - Assessee claims that no real income accrued to the company and merely as the assessee is following mercantile system of accounting it does...

Computation of the interest on refund u/s 244A - the judicial proprietary demands that order of the Tribunal of earlier years must be followed and therefore we direct...

Demand of interest - assessee sought adjustment of refunds due to the petitioner against the outstanding demands u/s 245 - Revenue directed to adjust the refund with the...

Refund claim - Adjustment of amount against outstanding demand - Refunds have been adjusted against the outstanding tax demand by the Authority without following the...

Adjustment of refund granted against the outstanding interest on the supplementary invoices - there is no adjudication order passed to demand interest against the...

Adjustment of refunds granted for computing of interest u/s 244A - the manner in which the assessing officer has adjusted the refund is not correct and that the assessee...

Non-granting interest u/s 244A on excess self-assessment tax from January 2017 to October 2017 was denied, citing the refund was less than 10% of the tax determined in...

Self adjustment of excess paid service tax - appellant already claimed the refund for excess amount adjusted against the service tax liability for the month of April,...

Refund claim - Adjustment of differential duty in refund sanctioned - adjudicating authority rightly adjusted the refund claim against the demand of differential duty - AT

Addition on account of interest u/s. 244A - Admittedly, the interest on income tax refund for the assessment year 2012-13 was received by the appellant society during...

Quick Updates: