Many taxpayers who have filed their income tax return (ITR) this year (for FY 2024-25) are still waiting for their refunds. Though the deadline has been extended to 15 September, many early filers may already be waiting for refunds.
Income tax refunds getting delayed is a common frustration, and the reasons are not always obvious. According to Chartered Accountant Ashish Niraj, delays usually come down to a few recurring issues, some on the taxpayer’s end, some within the system.
Here are some common reasons that often result in delayed refunds:
The first and most basic reason is verification. Filing the return is not enough; it has to be verified within 30 days. This can be done through Aadhaar OTP, net banking, or by posting the signed acknowledgement to the CPC in Bengaluru. If this step is missed, the return is treated as invalid, and naturally, the refund never moves forward
Sometimes the return is verified but has just not been processed yet. Refunds are only issued after the department processes your ITR. In such cases, the only option is to wait, though if the delay drags on, taxpayers can log in to the portal and raise a grievance under the “CPC-ITR” section, requesting early processing.
Incorrect bank account details are another frequent reason that can lead to delayed or no refunds. With mergers and IFSC code changes over the past few years, refunds often bounce back when the linked account cannot accept the transfer. In such cases, the department usually sends an email alert. The fix is straightforward: update the correct bank account under “My Bank Details” in the income tax profile and then place a “refund reissue” request.
There are also situations where the refund has been generated but gets adjusted against old tax dues. If there are pending demands from earlier years, the department automatically uses the refund to clear them, interest first, then the principal amount. You can check these demands by logging into the income tax filing portal under the “Pending Actions” tab.
Your refund may also get stuck due to a possible mismatch in the tax credit reported in the ITR. If the TDS claimed in the return does not match with the details in your Form 26AS and/or the Annual Information Statement (AIS), the department may hold back the refund until the issue is clarified. When this happens, you need to raise a grievance with the CPC to get it corrected.
In order to communicate regarding your delayed refunds or any issue with your ITR, the Income Tax Department usually sends over an official email with subjects like ‘Refund Adjusted against Outstanding Demands’ or ‘Your refund has failed, please raise a Refund Re-issue Request’.
However, it is important to verify the email is coming from an official channel before you respond or act on it. The department sends these emails from following official IDs:
intimations@cpc.incometax.gov.in
mailto:intimations@cpc.incometax.gov.in
If a refund has been withheld because the department has disallowed a deduction or expense, taxpayers can go beyond the portal fixes and file an appeal. “If you have claimed a refund and the department processes the ITR but disallows certain claims, you can challenge the order by going to the Income Tax Appellate authority,” says Niraj.
In most cases though, keeping an eye on verification, bank details, and old demands helps avoid getting stuck in the first place. The system has its delays, but most refunds come through once these loose ends get sorted.
