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(Querist)
24 October 2016 For the assessment year 2015-16 I filed my initial tax return on 03/08/2015. My gross total income was Rs.308747. After all deductions I claimed a refund of Rs27400.

I received this refund. Later on, I realised that I had some income which I did not know I had, so I filed a revised return on 26/02/2016, showing my total income to be Rs.375926. I paid the due tax and penal interest on this income.

Unfortunately, my CA did not show my refund on the revised return, as he says the refund had already been received.
Now the tax dept are demanding that I repay the refund that they have already given me. The reason for this is because the refund was not claimed in the revised return.

When I go to the efiling site and look at the pending messages, it says that the demand is still due.

My CA has clicked on the disagree with demand and given the reason why he did what he did. He has done this three times but the demand is still there.

What should he do now so this problem is sorted out.

Furthermore the IT dept is refusing to send me the refund I am due this year until the previous matter has been sorted out.

Thank you.

24 October 2016 You did NOT clarify that in revised return filed on 26/02/2016....did you pay the tax inclusive of that refund or exclusive?
I hope you are getting what I am aiming at.....there seems to be some confusion between that refund amount of 27400

SCJ (Querist)
24 October 2016 I did not give back the refund. I initially paid the tax on Rs308747. Then I paid the tax due on the diffirence between Rs375026 and Rs308747 plus the penal interest for the late payment. So the total amount of tax I paid is the correct amount for Rs375026.

But because the CA did not claim the refund due on the TDS i did not get it and the IT dept are saying because you did not claim it in your revised return you are not entitled to it and so they want me to pay back the refund.

This would mean that I will not get my Tax exemption for the first Rs2.5 lakh
Thankyou




SCJ (Querist)
24 October 2016 please advise me what to do thankyou

24 October 2016 File revised return claiming refund.

SCJ (Querist)
24 October 2016 My CA says as I already have the refund if I claim it again in the revised return I could be fined or jailed

SCJ (Querist)
24 October 2016 still open not resolved

24 October 2016 Revised return is filed for rectification of any omission or any mistakes in the return filed originally. Revised return will be processed again as original return. Even if you claim the refund again the IT dept will not make any refund again.
Don't worry file revised return claiming refund you will not be fined or jailed. In case refund is granted inadvertently again remit the amount back to govt.




24 October 2016 In your original query you wrote "I RECEIVED THIS REFUND"

It seems that the refund must have been received through CHEQUE, which you did NOT deposit.

Is that so?

SCJ (Querist)
24 October 2016 I received the money through electronic transfer, so the amount was cashed.

24 October 2016 SCJ...what is your confusion ?......first you wrote "I RECEIVED THIS REFUND"
then you wrote......"I did NOT give back refund"
See try to understand one thing.......IT record is showing that they have paid you 27400/-
Now you need to pay back this mount...isnt it?
What is your view....please explain

SCJ (Querist)
24 October 2016 My confusion is, if I pay back this amount I would have paid tax on all my income, and would not have got the basic 2.5lakh allowance which everybody is entitled to. And because I did not claim this on my revised return the tax dept want me to pay it back.




24 October 2016 No No...you have some very basic WRONG notion in your mind.....
see try to solve the confusion this way......
case 1 : Income shown 308,747 i.e. to say 308,750
income tax payable on this 308,750 = 5875
Now you say 27400 was refund that got electronically transferred in your account. (This amount might contain some interest paid by ITdepartment , but for the time being let us assume it to be zero) ok?...So to say, you paid a tax of 5875.

Case2 : Now you revised your income to 375,926 i.e. to say 375,930
income tax payable on this 375930 = 12593.
Out of this you have paid 5875.
So you need to pay 12593 - 5875 = 6718.......(Plus interest + penalty, if any)
Now tell me, what is your confusion in this?

SCJ (Querist)
24 October 2016 AS I said in my first post I have paid Rs12593. I have paid all the tax and penal interest due on Rs375930.

But they have not given me my tax free allowance ofRs2.5lakh.

Thankyou

24 October 2016 then file rectification ONLINE.




SCJ (Querist)
24 October 2016 Thankyou I will do that

24 October 2016 you are most welcome.



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