Refund of advance tax

Refund arises when you have paid more tax than your tax liability in the relevant year. Only after the summary assesment of your return by the IT dept, your refund will be released, if any.

Originally posted by : Mihir
	Refund arises when you have paid more tax than your tax liability in the relevant year. Only after the summary assesment of your return by the IT dept, your refund will be released, if any.

agreed                                       

At the year end , when u calculate ur Total tax liability, we adjust all our advance taxes paid(includes advance tax. tds..) against the total laibility..... so the balance remained is refundable/payable sa the case may be....

For Eg:1) Total tax Liability: 60000

              Advance Tax Paid : 90000

Then Amt Refundable= 30000 

2) Total tax Liability: 90000

              Advance Tax Paid : 60000

Then Amt Payable= 30000 

Is there any restriction as refund will be paid against TDS only and not against Advance tax suppose advance tax paid by mistake bt actaully there is no tax liability

TDS deducted + advance tax paid + self-assessment tax paid = total tax paid

IT dept will look at the total tax paid and total tax liability, and according determine the refund, if any.

agree with MIHIR

 i am  created a provision for tax Rs, 1,00,000/-(2013-14)

Advance tax paid 80,000/-(2013-14)

if i get a Advance tax refund amount of Rs.30,000/-(2013-14)

what is the entry in my books in current financial year