ITR Update: Those who filed ITR on the last day got their refund, those who filed it many days ago are still waiting... why?

The last date for filing an Income Tax Return (ITR) was 31 July, which was not extended by the Income Tax Department. Tax-paying professionals and taxpayers, however, had appealed for an extension of the deadline. Interestingly, many taxpayers who filed their returns at the last minute got their returns processed quickly and got their tax refunds soon. At the same time, some taxpayers had filed their returns much earlier, but they are still waiting for their refund. In some cases, the refund was issued within 24 hours of filing the return, while others had to wait more than a month for the refund to be processed. Why is this so?

Many of you, who have not yet received your income tax refund, may wonder why your return has not been processed despite filing the return ahead of time. Although the Income Tax Department usually issues refunds within a certain time frame, there are some reasons due to which there may be a delay. Let us know the reasons for the delay in refund.

Possible reasons for non-issuance of ITR refund
One of the reasons for the delay in ITR processing is the type of ITR form you have chosen. Experts say that forms like ITR-1 or ITR-4 are usually processed faster than ITR-2 or ITR-3. According to them, returns with large refund claims may be subjected to more stringent scrutiny by tax officials.

The third possible reason for the delay in ITR processing and tax refund could be that there may be errors in the information given in the tax return, such as a mismatch in reported income or tax credits, which may require re-verification after the taxpayer interacts with the department.

The statutory deadline for ITR processing for assessment year 2024-25 is 31 December 2025. However, with technological advancements in recent years, the processing of tax returns has become faster.

Will I get interest on a delayed tax refund? If the income tax return is filed within the prescribed time limit then the taxpayer is entitled to interest at the rate of 0.5% per month or part of the month from 1st April 2024 till the date of refund. If there is a delay in filing the return then the interest is paid from the date of filing the return till the date of refund. However, the Income Tax Department does not pay any interest if the refund amount is less than 10% of the actual income tax liability.

How to Check Income Tax Refund Status

1. Visit the Income Tax Department website www.incometax.gov.in.

2. Log in using your PAN and password.

3. After logging in, click on the “e-file” tab.

4. Here you will find the option of “View Filed Return”, click on it.

5. Here you will see the details of all the returns filed by you.

6. Click on “View Detail” to see your current status.

7. Here you will see the status of your ITR file.

8. If you have received a refund, you will get the full details here. If you have not received it, you will have to wait.

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