Processing of ITRs with refund claims u/s 143(1) up to AY 2017-18 CBDT extends time in non-scrutiny cases. Intimation can be send till 31.10.2020
F. No.225/98/2020/IT A-II
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
North Block , New Delhi the , 10th July, 2020
It has been brought to the notice of the Central Board of Direct Taxes (Board ‘) that due to certain technical issues or for other reasons not attributable to the assessees concerned, several returns for various assessment years up to the assessment year 2017-18 which were otherwise filed validly under section 139 or 142 or 119 of the Income tax Act, 1961 (‘Act’) could not be processed under sub-section (1) of section 143 of the Act. Consequently, intimation regarding processing of such returns could not be sent within the period of one year from the end of the financial year in which such returns were filed as prescribed in the second proviso to sub-section (1) of section 143 of the Act. This has led to a situation where the taxpayer is unable to get his legitimate refund in accordance with provisions of the Act, although the delay is not attributable to him.
2. To resolve the grievances of such taxpayers , Board had earlier issued instructions/orders u/s 119 of the Act from time to time relaxing the prescribed statutory time limit for processing of such validly filed returns with refund claims in non-scrutiny As per the latest order dated 5th August, 2019, time frame was given till 31.12.2019 to process such returns with refund claims.
3. The matter has been re-considered by Board in view of pending taxpayers ‘ grievances related to issue of refund . To mitigate genuine hardship being faced by the taxpayers on this issue, Board , by virtue of its powers under section 119 of the Act, hereby relaxes the time-frame prescribed in second proviso to sub-section (1) of section 143 and directs that all validly filed returns up to assessment year 2017-18 with refund claims, which could not be processed under sub-section (1) of section 143 of the Act and which have become time-barred , subject to the exceptions mentioned in para below, can be processed now with prior administrative approval of CC1T/CCIT concerned and intimation of such processing under sub section (1) of section 143 of the Act can be sent to the assessee concerned by 31.10.2020. All subsequent effects under the Act including issue of refund shall also follow as per the prescribed procedures . To ensure adequate safeguards, it has been decided that once administrative approval is accorded by the Pr. CCIT/CCIT, the Pr.CIT/CIT concerned would make a reference to the Pr. DGIT(Systems) to provide necessary enablement to the Assessing Officer on a case to case basis.
4. The relaxation accorded above shall not be applicable to the following returns :
(a) returns selected in scrutiny ;
(b) returns remain unprocessed , where either demand is shown as payable in the return or is likely to arise after processing it;
(c) returns remain unprocessed for any reason attributable to the assessee.
5. This may be brought to the notice of all for necessary compliance.
(Rajarajeswari R.)
Under Secretary, (ITA-II), CBDT
Copy for information to:
When quantum appeal stands restored to the AO, penalty can not be levied u/s 221(1) of the Income Tax Act…
Even if, the assessee is engaged in the bogus purchases, the entire purchases cannot be disallowed - ITAT In a…
Order to stock broker through WhatsApp may be considered as legally verifiable record - SEBI SEBI in an informal guidance…
ICAI Guidance Note on Audit of Banks 2026 Edition ICAI has issued 2025 edition of the Guidance Note on Audit…
NHIDCL is hiring CA/CMA and others as Young Professionals – Last date to apply is 14.04.2026 The National Highways and…
Income Tax Rules 2026 notified by CBDT. CBDT has issued Notification No. 22/2026 dated 20.03.2026 to notify the Income-tax Rules,…