(1)] [ Inserted by Act 4 of 1988, Section 95 (w.e.f. 1.4.1989).][Where refund of any amount becomes due to the assessee under this Act] [ Substituted by Act 3 of 1989, Section 41, for " Where, in pursuance of any order passed under this Act, refund of any amount becomes due to the assessee" (w.e.f. 1.4.1989).][, he shall, subject to the provisions of this section, be entitled to receive, in addition to the said amount, simple interest thereon calculated in the following manner, namely:-(a)where the refund is ] [out of any tax paid under section 115-WJ or] [ Substituted by Act 18 of 2005, Section 56, for " out of any tax" (w.e.f. 1.4.2006).] [collected at source under section 206-C or] [ Inserted by Act 3 of 1989, Section 41 (w.e.f. 1.4.1989).][paid by way of advance tax or treated as paid under section 199, during the financial year immediately preceding the assessment year, such interest shall be calculated at the rate of ] [Inserted by Act 4 of 1988, Section 98 (w.e.f. 1.4.1989).] [one-half per cent.] [ Substituted by Act 54 of 2003, Section 16, for " two-third per cent." (w.r.e.f. 8.9.2003).][for every month or part of a month comprised in the period from the 1st day of April of the assessment year to the date on which the refund is granted: [Inserted by Act 4 of 1988, Section 98 (w.e.f. 1.4.1989).]Provided that no interest shall be payable if the amount of refund is less than ten per cent. of the tax as determined ] [Inserted by Act 4 of 1988, Section 98 (w.e.f. 1.4.1989).] [[under sub-section (1) of section 115-WE or sub-section] [ Inserted by Act 3 of 1989, Section 41 (w.e.f. 1.4.1989).][(1) of section 143 or] [ Inserted by Act 3 of 1989, Section 41 (w.e.f. 1.4.1989).][Substituted by Act 19 of 1968, Section 18, for sub-Section (2) (w.r.e.f. 1.4.1968).][on regular assessment;(b)in any other case, such interest shall be calculated at the rate of ] [one-half per cent.] [ Substituted by Act 54 of 2003, Section 16, for " two-third per cent."</p>w.r.e.f. 8.9.2003).][for every month or part of a month comprised in the period or periods from the date or, as the case may be, dates of payment of the tax or penalty to the date on which the refund is granted. [Inserted by Act 4 of 1988, Section 98 (w.e.f. 1.4.1989).]Explanation. - For the purposes of this clause, "date of payment of tax or penalty" means the date on and from which the amount of tax or penalty specified in the notice of demand issued under section 156 is paid in excess of such demand.
