The Economic Times

Income tax refund rules change from April 2026: Check these 2 important updates for Tax Year 2026-27

Two significant changes to income tax refund rules are effective from April 1, 2026, impacting Tax Year 2026-27. The Finance Act 2026 clarifies interest computation for past tax years and allows tax refunds to be set off against demands under either the old or new Income Tax Acts, simplifying processes for taxpayers.