In recent news regarding Income Tax Return (ITR) filing, approximately 1.2 million taxpayers have yet to receive their tax refunds for the financial year 2023-24. This information was disclosed by Pankaj Chaudhary, Minister of State for Finance, during a session in the Rajya Sabha. Out of the total 36.8 million ITRs filed, 35.6 million have been successfully refunded. Understanding the reasons behind these pending refunds can help taxpayers navigate their ITR better and ensure timely processing.
Reasons for Pending Refunds
Among the 1.2 million taxpayers awaiting refunds, several key issues have emerged that prevent the successful credit of tax refunds. Here are the main reasons:
1. Incorrect or Unupdated Bank Details
One of the primary reasons for refunds not being credited is the presence of incorrect or outdated bank account details in the ITR. Taxpayers need to ensure their bank information is accurate and current.
2. Lack of PAN and Aadhar Linking
Another significant issue is the failure of many taxpayers to link their Permanent Account Number (PAN) with their Aadhaar number. This link is crucial for the tax refund process and must be addressed by the taxpayer.
3. Pending Dues and Notices
Tax dues pending under Income Tax Acts 245(1) and 245(2) are additional reasons for delayed refunds. Furthermore, some taxpayers have not responded to notices issued by the Income Tax Department, which complicates and prolongs the refund procedure.
Steps to Follow for Resolving Refund Issues
If you are among those who believe their tax refund is delayed or have received a notice from the tax department, you can take the following steps:
1. Check Status on the e-Filing Portal
Visit the Income Tax e-filing portal. Log in to your account and navigate to the ‘e-Proceedings’ tab. If you have received any ITR notices, they will be visible under the ‘For your Action’ tab.
2. Respond to Notices Promptly
Click the ‘View Notices/Orders’ button to review the details. Ensure you respond to the notice accurately to avoid further delays in the processing of your refund.
Easy Steps to Get Your Tax Refund
If you agree with the notice details, click the ‘Agree’ button, and refile your ITR with the correct information. If there are changes in your income or deductions, you will need to file a revised ITR. Following these steps can significantly expedite your tax refund process.
Conclusion
Taxpayers must be proactive about their ITR filings and respond to any notices promptly to ensure a smooth refund process. By keeping your information updated and addressing potential issues, you can prevent delays in receiving your rightful tax refunds.