Income Tax Refund Delays: Taxpayers are facing significant delays in receiving their income tax refunds. Many are expressing their frustration on social media platforms. This year, taxpayers are experiencing more delays in receiving income tax refunds than in previous years. Returns often appear as "in process," with no clear timeline for the refund to arrive.

Why is the refund process slow?
Tax analysts say that mismatches between the income reported in the AIS, Form 26AS, and returns are a major cause of refund delays. This problem is particularly prevalent among those with multiple sources of income, such as earnings from the stock market or foreign income. Such returns often undergo manual verification instead of automatic verification, slowing down processing.

What is the impact of CPC Bengaluru's stricter screening?
This year, the Centralized Processing Center (CPC) has implemented stricter screening procedures. Refunds involving large amounts and returns with unusual entries are being scrutinized more thoroughly. Additionally, a high volume of returns filed around the deadline has also caused delays in normal cases.

How do incorrect bank details play a role in delaying refunds?
A common reason for refund delays is incorrect, inactive, or mismatched bank details with the PAN. Sometimes, the department processes the refund, but it is not credited due to a name mismatch or an inactive account. People often discover this after seeing complaints on Twitter.

What is the Income Tax Department doing about this?
The department's social media team is continuously responding to user complaints and directing them to the grievance system on the e-filing portal.

How should taxpayers check their refund status?
Taxpayers are advised to check their refund status by going to the "View Filed Returns" section on the e-filing portal and ensuring that the bank details are fully updated.

What steps should be taken if there is a mismatch in AIS?

If an incorrect entry or a mismatch is detected in the AIS, the taxpayer should submit feedback on the AIS. If necessary, a revised return should be filed.

Can the CPC self-correct minor errors?
According to tax experts, procedural changes this year have given the CPC the authority to self-correct some minor technical errors. This may expedite pending general cases. However, delays may persist in cases involving large refunds or complex income.

What should taxpayers do to receive their refunds quickly?
According to experts, taxpayers should match AIS data with their returns.

Respond to any notifications from the department promptly.

Ensure that bank details match the PAN.

If a refund is not received for a long time, file an online complaint on the portal and request escalation if necessary.

Will the situation improve in the future?
Experts believe that the delays are not due to prevention but rather due to better data matching and stricter verification. As backlogs reduce and new processes stabilize, the refund process is expected to improve.

Disclaimer: This content has been sourced and edited from Dainik Jagran. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content