CBDT: Outlines procedure for issuing refunds exceeding Rs. 5000; Stipulates 30 days for demand-adjustment u/s 245

CBDT lays down detailed procedure for issuing refunds exceeding Rs. 5000 where notice u/s 245 (for adjustment of refund against outstanding arrears) has been issued to taxpayer-assessee; Earlier this month, CBDT had directed prompt issuance of refund upto Rs. 5,000 without any adjustment of outstanding arrears; For cases not covered by earlier relaxation and where Sec 245 notice has been issued, CBDT now directs CPC to issue refund without any adjustment where assessee has contested the demand and no response is received from AO within 30 days; Likewise, when there is no response from assessee within 30 days, CBDT directs CPC to adjust demand against refund due and issue balance refund, if any.