Summary of this article
Income tax refunds are getting delayed due to discrepancy in filing
Earlier this week, CBDT chair Ravi Aggarwal addressed delay in refunds due to wrongful claims in certain high-value filings
Check why your refund is held back
Filing income tax returns has become quicker over the years. However, while the last return filing date passed in mid-September, many taxpayers complain that their refunds have not been credited yet.
If you are one of those whose tax refunds have not yet come through, learn what is delaying the refund and by when you should expect the return to be credited.
Earlier this week, the Central Board of Direct Taxes Chairman Ravi Aggarwal, of the income tax department, has detected wrongful claims on several high-value claims. This has delayed income tax refunds for claims in the high-value category.
Aggarwal had said the income tax department has processed most low-value claims. But high-value claims, which may require additional scrutiny, are stuck. Aggarwal said that all legitimate claims will be refunded by the end of December.
As per the income tax rules, there is no upper limit for claiming refunds. According to the income tax portal, refunds usually take between four and five weeks to be refunded into the taxpayer's account. If the refund does not come through during this period, you can check for any communication from the income tax department regarding any discrepancies in the return filed.
Aggarwal said that the income tax department has also asked taxpayers to submit revised returns if they omitted any additional information. This could help the department to process claims faster.
How to check the status of the ITR refund?
Go to the e-filing portal of the Income Tax Department
Login to your account
Navigate to ‘View filed returns’
Check the status of the income tax return for the required assessment year
What kind of discrepancies could lead to a delay in ITR processing?
Any mistakes made while filing the income tax return can delay the refund process. If there is any inaccurate number or if there is any problem with the bank account details provided, the refund process could be delayed.
The tax refund is directly deposited into the taxpayer’s bank account. So, it becomes important to ensure that you provide details of an active bank account. If the bank account is not pre-validated, your refund can be put on hold. Another reason for a possible delay in refund could also be if the name in the bank account does not match the PAN.
Taxpayers may be worried due to the delay in processing refunds. But the good news is that for early applicants filing returns for the assessment year 2025-26 before September 16, the income tax department will pay a 0.5 per cent interest per month on the refund starting April 1.
