Refund adjusted u/s 245

from the query, it is not clear whether any appeal / rectification application was pending for the AY against which the refund is adjusted. Please note that once the refund is adjusted (say refund for AY 2020-21 is adjusted against demand for AY 2015-16) then the same is treated as taxes of the AY in against which the refund is adjusted (i.e. AY 2015-16 in the example). Accordingly, the credit for such adjustment will be given in AY 2015-16. If there is a refund due for AY 2015-16 after adjustment of the refund, the same may be claimed in AY 2015-16.