The Central Board of Direct Taxes (CBDT) has announced the revised Form 29D for tax refunds. The Income-tax (26th Amendment) Rules, 2022, have been notified by the Board. The change created a new Refund Claim under Section 239A Rule 40G to the Income-tax Rules of 1962. The Finance Act of 2022 inserted a new section 239A to the Income-tax Act. Section 239A specifies that a taxpayer may apply to the Assessing Officer for a refund of tax deducted under Section 195 on any income if no tax deduction was required (except interest).
A claim for a refund under section 239A must be submitted on Form No. 29D, under Rule 40G. A copy of the agreement or other arrangement referred to in section 239A must accompany the claim. The claim may be presented by the claimant or by a lawfully authorised representative. Form No. 29D is used to request a refund of tax deducted pursuant to Section 239A of the Income-tax Act of 1961.