Still waiting for your ITR refund? Here’s what you need to know

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Why refunds take time

If you have filed your Income Tax Return (ITR) and have not received your refund yet, do not panic. Refunds are only made after the return has been verified for correctness by the Centralized Processing Centre (CPC). Small errors, such as erroneous bank account details or variation in TDS, may also delay refunds. Processing time varies depending on the complexity of the return as well.

Average refund timeline

Refunds are issued in most cases within 20-45 days after the ITR is verified. In some cases, though, it may take a bit longer, particularly if the return is chosen for additional examination. Refunds are deposited straight into the registered bank account of the income tax department, and making sure details are accurate is imperative. Taxpayers who e-verify their returns quickly tend to receive their refunds earlier than taxpayers who wait.

Things that delay

Refunds are normally delayed due to mismatch in PAN and bank details, incorrect IFSC codes, or awaiting response for notice issued by the department. Refunds are delayed also if there are demands of previous years where adjustment is required to be made. Refunds are often credited but never come into the account of taxpayers due to technical errors in the banking system.

How to track your refund

You may verify your refund status either at the Income Tax e-filing portal or at the NSDL refund track website. If your refund has been dispatched but not received, you may need to contact your bank or lodge a complaint with income tax helpdesk. Follow-up in advance will prevent you from losing amounts that belong to you.

What to do if refund is delayed

If your refund is delayed for a longer time than usual, check your bank details, respond to any tax notices, and maintain your return error-free. In certain cases, you can also recover interest on late refunds through Section 244A of the Income Tax Act. This makes it essential to file on time and correctly to avoid processing delays.

FAQs

1. How long does it usually take for an ITR refund?

Refunds are typically sent within 20-45 days from e-verification of the ITR, except in the case of complicated cases or differences.

2. Do I get interest on delayed refunds?

Yes. If there is a delay in refund after a specified time period, you can be entitled to interest under Section 244A, with some conditions.

3. What if my refund is approved but not credited?

Check your bank details on the portal and approach the bank. If this issue persists, submit a grievance to the income tax department.