12 Lakh ITR Filers Haven’t Received Refunds: How to Fix it

1.2 million Income Tax Return (ITR) filers for FY 2023-24 have not received their refunds. The Ministry of Finance reported that out of 39.8 million ITRs claiming refunds, 39.4 million were verified. Of these, 36.8 million refunds were processed, and 35.6 million refunds were credited. However, issues led to about 1.2 million ITRs not getting refunds.

Key Reasons

• Incorrect bank account details in ITR.
• Returned refunds from the destination bank.
• Pending proceedings for adjusting refunds to outstanding demands under Section 245(1) of the Income Tax Act, 1961.
• Unlinked PAN and Aadhaar.
• Pending proceedings for adjusting refunds under Section 245(2) of the Income Tax Act, 1961.

How to Fix

1. Verify Bank Account Details: Ensure your bank account in the ITR is correct, active, and pre-validated. Link PAN to the bank account.
2. Respond to Notices: Address any defective return notices promptly.
3. Link PAN with Aadhaar: Link your PAN with Aadhaar through the Income Tax e-filing portal.
4. Check for Outstanding Tax Demands: Log in to the e-filing portal and check the ‘outstanding tax demand’ section.
5. Contact Income Tax Department: If all details are correct and no notices are pending, contact the Centralised Processing Center (CPC).

By following these steps, taxpayers can resolve refund issues and ensure they receive their due refunds.