Section 435
Section 435: refund on appeal, etc
Section 435 makes refunds arising from an appeal automatic: if an order passed in appeal or other proceeding results in a refund becoming due, the Assessing Officer must refund it without the assessee having to make any separate claim.
Automatic refund following an appellate order - Section 435(1)
"Where, as a result of any order passed in appeal or other proceeding under this Act, refund of any amount becomes due to the assessee, the Assessing Officer shall, except as otherwise provided in this Act, refund the amount to the assessee without his having to make any claim in that behalf."
Timing where the assessment is set aside or annulled - Section 435(2)
Where the appellate or other order sets aside or cancels an assessment and directs a fresh assessment, any refund due becomes due only once the fresh assessment is actually made.
Where the assessment is annulled, the refund becomes due only of the amount, if any, of tax paid in excess of the tax chargeable on the total income the assessee had returned.
Frequently asked questions
Do I need to file a separate claim to get a refund after winning an appeal?
No - Section 435(1) requires the Assessing Officer to refund the amount due as a result of an appellate or other order without the assessee having to make any claim.
If my assessment is set aside and a fresh assessment is ordered, when do I get my refund?
Only once the fresh assessment is actually made, under Section 435(2)(a).
What refund do I get if my assessment is annulled entirely?
Only the amount, if any, of tax paid in excess of the tax chargeable on the total income you had returned, under Section 435(2)(b).
Related sections
Want this applied to your actual filing, not just explained?
Get help with a refund following an appeal orderLast updated 9 September 2026