Answer

1. F

   Facts

   The law permits set-off only after written intimation of the proposed action. If your refund was adjusted without an intimation, you can ask for it to be reversed if the demand was wrong.

2. P

   Provisions and law

   • Sec 245, Income-tax Act 1961 (now Sec 438, Income-tax Act 2025)Refund can be set off against an earlier demand only after a written intimation to the taxpayer
   • Sec 154, Income-tax Act 1961 (now Sec 287, Income-tax Act 2025)A mistake apparent from the record can be rectified, on request or by the officer
   • CBDT Instruction F.No. DIT(S-III)/CPC/2012-13 dated 27 November 2012Lays down how CPC adjusts refunds against outstanding demand after giving the taxpayer a chance to respond
3. A

   Analysis

   First check your registered email and the e-Proceedings and Worklist tabs, because intimations often go to an old email. If none was sent, raise a grievance on the portal citing the absence of intimation. If the demand itself was wrong, ask the officer to rectify it so the adjusted amount is refunded with interest. Example: ₹11,000 adjusted against a demand that was already paid; once rectified, the ₹11,000 should come back.

4. C

   Conclusion

   1. 1Check email, e-Proceedings and Worklist for any intimation
   2. 2Download the refund adjustment details from the refund status page
   3. 3If there was no intimation, raise a grievance on the portal
   4. 4If the demand was wrong, apply for rectification to the officer
   5. 5Track the refund of the adjusted amount

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.