ITR Refund: The process of filing Income Tax Return (ITR Filing 2025) for Assessment Year 2025-26 has been accelerated. This time the last date for filing returns has also been extended till 15 September. As the number of filing is increasing, the question is arising in the mind of taxpayers how long and when the refund will be found.
In what time does the refund get?
According to Finance Minister Nirmala Sitharaman, the Income Tax Department has reduced the average time for issuing refunds to 10 days through automation and improvement in the process.
However, the tax expert says that this is just average. In many cases the refund is found in a few days. At the same time, some cases may be delayed by weeks or months due to investigation or technical reasons. Law, in complex cases the tax department may get up to 9 months after the assessment year is over. This means that refunds can also be released by December 2026.
Why can there be a delay in refund?
- E-verification: It is not enough to file just ITR. The process will not start until the e-verification will happen.
- PAN and Aadhaar Link: If there are no PAN and Aadhaar links, the Income Tax Department system can prevent ITR from processing.
- Difference in TDS Detail: If there is a difference between taxes shown in Form 26AS and data recorded in ITR, the case can go into scrutiny.
- Wrong bank details: The refund comes directly into the account. Transaction may fail from the wrong account number or IFSC code.
- IT department inquiry: If the department sent an email or notice and the taxpayer did not respond, the refund can be stopped.
What to do to avoid delay in refund?
Taxpayers should e-verify it immediately after filing returns. Aadhaar OTP, net banking or other digital mediums can be used for this. Also, make sure that there are PAN and Aadhaar links, information related to TDS and income is absolutely accurate. Also, there should be no mistake in bank details.
Your legal right over refund delay
- If the refund is not issued within 30 days, the tax department has to pay interest at 6% per annum every month. This interest is applied to the amount of refund until it is transferred to your account.
- If AO (Investigating Officer) deliberately delays your refund processing, you can complain against it to a senior officer of CBDT or Income Tax Department.
- You have the legal right to watch your refund status online and know its entire track record. You can check it on the portal of www.incometax.gov.in or NSDL.
- If the refund is constantly getting delayed, then you can file a complaint with the Income Tax Department under the e-Nivaran system. This is the official grievance redressal system of the department.
- If your refund has been delayed by excessively and unnecessary delays and all administrative measures have been unsuccessful, then you can file a writ petition in the High Court. In many cases, the court has ordered the taxpayers.
Also read: SIP Tax Rules: How much and how tax you feel on profits from mutual funds, understand complete calculation