Issue related to itr u

Sir, If a refund of Rs. 1000 arises after payment of a penalty in an updated return (ITR-U), how can we ensure that the refund is nullified? This is because refunds are neither allowed nor carried forward in ITR-U. Please explain.

Replies (2)
Quick Summary
If you've filed an updated return (ITR-U) and a refund arises after paying a penalty, you need to nullify it as refunds aren't permitted. To do this, calculate the refund amount, then pay additional tax or interest, such as self-assessment tax or interest under Section 234B/234C. Finally, file a revised ITR-U reflecting these changes and verify the refund status to ensure it's zero.

When filing an updated return (ITR-U), if a refund arises after payment of a penalty, you'll need to ensure that the refund is nullified.

Since refunds are neither allowed nor carried forward in ITR-U, you can follow these steps:

Step 1: Determine the Refund Amount Calculate the refund amount that arises after paying the penalty in the ITR-U.

Step 2: Pay Additional Tax or Interest To nullify the refund, you can pay additional tax or interest. This can be done by: - _Paying self-assessment tax_: If you have any other tax liabilities, you can pay self-assessment tax to offset the refund amount. - _Paying interest under Section 234B or 234C_:

If you have any interest liabilities under Section 234B or 234C, you can pay the interest to offset the refund amount.

Step 3: File a Revised ITR-U After paying the additional tax or interest, file a revised ITR-U to reflect the changes. Ensure that the refund amount is reduced to zero.

 Step 4: Verify the Refund Status Once you've filed the revised ITR-U, verify the refund status on the income tax department's website to ensure that the refund has been nullified.

By following these steps, you can ensure that the refund arising from the payment of penalty in the ITR-U is nullified.

I hv seen many persons itr not filed.

 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 24 August 2026
Chartered Accountant Articles

Rohit KC Jain & Co

New Delhi

CA Inter

View Details
Company
09 September 2026
Semi Qualified CA / CA Inter - 2 Groups Cleared

Getmyca Consultant Pvt Ltd

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
Article Assistant

ANIVESH CONSULTANTS LLP

Gurgaon

CA Inter

View Details
Company
ARTICLESHIP 14 August 2026
Article Assistant

N J Suresh & Associates

Bengaluru

CA Inter

View Details
Company
29 August 2026
Chartered Accountant

Velionit Consulting PVT LTd

Mumbai

CA

View Details
Company
ARTICLESHIP 25 August 2026
CA Article's

Saini Pati Shah & Co LLP

Mumbai

CA Inter

View Details
Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Article Assistant

SGNG & Associates

New Delhi

CA Inter

View Details