Para 2.16.24 — CAM
Original Rule Text
2.16.24 Refund of Revenue
What This Means
This paragraph deals with the procedure for processing refunds of revenue. When the Government needs to refund money that was collected as revenue (taxes, fees, or other receipts), specific procedures must be followed to ensure the refund is legitimate, properly sanctioned, and correctly accounted for. The PAO checks that the original payment was indeed made, the refund is authorized by the competent authority, and the amount is debited to the correct revenue head as a reduction of receipts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Refunds of revenue require proper sanction from the competent authority
- 2PAO must verify that the original payment was actually received before processing a refund
- 3Refunds are accounted for as reductions of receipts under the relevant revenue head
- 4The refund process includes checks against fraudulent or duplicate refund claims
- 5Supporting documents proving the original payment and justification for refund must be attached
Practical Example
A fee of Rs.10,000 was collected from a vendor for a license application that was subsequently rejected. The vendor applies for a refund. The DDO verifies the original receipt, obtains sanction from the competent authority, and submits a refund bill to the PAO. The PAO checks the original challan, confirms the fee was actually credited to government accounts, verifies the refund sanction, and processes the payment. The refund is booked as a deduction from the relevant receipt head, not as expenditure.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
How is a revenue refund different from regular expenditure?▼
Who sanctions a revenue refund?▼
What documents are needed for a revenue refund?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.