Income tax refund eligibility

[Anisha]

Hi,

Who is eligible for income tax refund? is the refund amount taxable?

[Arpana]

Hi,

Income tax calculation will be done forecasting an employee 12 months salary+ any other taxable earnings and on that tax will be calculated , but do to any reasons if an employee doesn’t receive that forecasted earnings in the FY then whatever tax is deducted will be in excess, that excess tax deducted amount will be refunded while filing the returns .

Refunded amount will be not taxable.

Regards
Arpana

[C0025]

Hi Anisha

Excess amount deducted on the Earnings for the year will be refunded when you file the return for that year. Refund amount is not taxable.

[sojin.thomas]

Income Tax refund is not taxable, but the interest earned on refund is taxable under head other sources