For FY 2008-09, one of my client has claimed refund of Rs. 40000. but the amount reflected in 26AS is only Rs. 16000. As a result the commissioner of income tax has disallowed Rs. 24000.
Now my question is whether there is any circular which says refund can be claimed by producing the physical TDS Certificate?
22 April 2011
INSTRUCTION NO. 2/2011 [F.NO.225/25/2010/ITA-II] DATED 9-2-2011
The issue of processing of returns for Asst. year 2010-11 and giving credit for TDS has been considered by the Board. In order to clear the backlog of returns, the following decisions have been taken: (i) In all returns (ITR-1 to ITR-6), where the difference between the TDS claim and matching TDS amount reported in AS-26 data does not exceed1 lac, the TDS claim may be accepted without verification. (ii) Where there is zero TDS matching, TDS credit shall be allowed only after due verification. However, in case of returns of ITR-1 and ITR-2, credit may be allowed in full, even if there is zero matching, if the total TDS claimed isfive thousand or lower. (iii) Where there are TDS claims with invalid TAN, TDS credit for such claims is not to be allowed. (iv) In all other cases TDS credit shall be allowed after due verification.
Pl try full tds claim on the basis of the above instruction for the financial year 2008-2009 too.
CAclubindia
