ITR refund 2024: After filing income tax returns, many taxpayers are now waiting for their refund. It is important for individuals who have paid excess tax for the financial year to remember that they are eligible to receive an Income Tax refund upon submitting the ITR form.
For the processing of an Income Tax Return refund, it is imperative that the return is e-verified. The reimbursement is transferred to the taxpayer’s account approximately within four to five weeks subsequent to the e-verification of the ITR. When eligible individuals are due for an Income Tax refund, the refund amount will be electronically transferred to the bank account specified during the Income Tax Return (ITR) filing process. The details provided in the ITR will determine the account where the refund is credited.
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In the event that the refund is not received during this timeframe, it is crucial to diligently examine any notifications pertaining to inconsistencies in the Income Tax Return. The deadline to file the Income Tax Return (ITR) for the financial year 2023-24 (assessment year 2024-25) is on July 31, 2024.
Why your refund may be delayed
1. Additional Information required
Your refund may be delayed as the Income Tax Department may require additional information. The Income Tax Department, in its efforts to maintain accuracy and ensure compliance, may choose certain tax returns for scrutiny. Should your return be selected for examination, it is possible that the refund process may experience a slight delay until the assessment is completed.
2. Mismatch in calculations
The Income tax department will conduct an analysis to determine your tax liability and compare it to the calculations provided in your tax return. In the event that discrepancies are identified, and you are found to still owe taxes, you may receive a notification from the department specifying the required payment amount.
If such a scenario arises, it is advisable to review all your documentation thoroughly and verify the accuracy of the taxes owed as well as any potential refunds due to you.
If the figures you initially submitted in your tax return are accurate, you have the option to file a rectification return under Section 139(4) to present your case.
However, if it is determined that your tax return contained errors, it is recommended that you settle the outstanding tax liability as specified by the department within the stipulated timeframe provided in the notification.
3. Wrong bank account details
One should verify the bank account number you provided when submitting your tax documents to ensure its accuracy.
4. Bank account validation
Bank account validation is a crucial step to ensure that refunds are credited correctly. Refunds are only processed to bank accounts that have been pre-validated. To pre-validate your bank account, it is important to follow the steps outlined on the income tax e-filing portal. Take note of the necessary precautions and validate your bank account promptly to avoid any delays in receiving refunds.
Even wrong bank name on your bank account can cause a delay. Ensure that the full legal name listed on your bank account precisely matches the name indicated on your tax return. Failure to align these names may result in your tax refund not being credited to your bank account.
5. More time to process
Due to the significant number of returns received, there may be delays in processing your return. Taxpayers should note that they have successfully e-verified their return within 30 days of filing. One should verify the validity of the IFSC code associated with your bank. Any recent bank mergers may lead to changes in the IFSC code. If necessary, update your banking information and pre-validate your bank details.
6. Discrepancies in Form 26AS
Form 26AS is a statement that consolidates all the taxes linked to your PAN number that have been paid or deducted at source. If the details of Tax Deducted at Source (TDS) in your income tax return do not align with the information reflected in Form 26AS, it could potentially result in a delay in receiving your tax refund.
How to check your refund status
You have the option to conveniently verify the status of your Income Tax refund on both the recently launched Income Tax portal as well as the NSDL website. It is important to note that the intimation notice regarding your refund is issued in accordance with section 143(1) of the Income-tax Act, 1961.
Typically, the processing of income tax refunds is facilitated by the State Bank of India (SBI), with the funds being directly transferred to the designated bank account as specified by the taxpayer in their Income Tax Return (ITR) during the filing process. Therefore, ensuring that the correct bank account number and IFS code have been provided is crucial to guarantee the accurate deposit of the refund amount.
What you need
> Valid User ID and Password
> PAN is linked with Aadhaar number
> ITR filed claiming refund
To check the status of your Income Tax Refund (ITR) on the e-filing tax portal, follow these steps:
Visit the official website at incometax.gov.in and log in to your account using your PAN or Aadhaar Card number as the User ID, along with your password.
After a successful login, find the ‘e-file’ option on the homepage.
Within the ‘e-file’ section, go to ‘Income Tax returns’ and choose ‘View Filed Returns’.
Check the latest Income Tax Return (ITR) submitted for the Financial Year 2023-24, corresponding to the Assessment Year 2024-25.
Click on ‘View Details’ to see the status of the filed ITR and any relevant details.
NSDL website
To track the Income Tax refund status on the NSDL website, taxpayers can follow these steps:
> Open the official website at tin.tin.nsdl.com/oltas/refundstatuslogin.html
> Log in using your PAN details.
> Select the appropriate assessment year you want to inquire about the refund status for.
> Upon selecting the assessment year, input the captcha code as requested and click on the submit button. Subsequently, a message will appear on your screen indicating the status of your Income Tax Return (ITR) refund.
Please note that taxpayers can only view the refund status a minimum of 10 days after the Assessing Officer has sent it to the refund banker.