How To Claim Income Tax Refund

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How To Claim Income Tax Refund
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• INTRODUCTION
• 1. Who does not likes refund?
• Refund means you are receiving back the amount
  which you have already paid. It is like sudden
  and unexpected windfall which makes a day for you
  to celebrate. Earlier taxpayer has to visit many
  times in Income-tax office and has to sought help
  of professionals to get the refund but now due to
  advancement in technology and faster processing
  of returns taxpayers are getting income tax
  refunds faster. The taxpayer normally files
  return of income and claims refunds but due to
  certain mistakes in quoting bank account details
  while filing return of income and other relevant
  factors the refund gets failed and the taxpayers
  receives mail ALXXXXXX6N Refund failure
  immediate action required.
• 2. REFUNDS ARE NOW ISSUED AT FAST PACE
• According to the press release by CBDT dated 09
  Sept 2022, refund of Rs.1.19 lakh crore have been
  issued upto 8th Sept 2022 which are 65.29 higher
  than refunds issued during the corresponding
  period in the preceeding year.  The taxpayers are
  receiving refund within 30-45 days after return
  gets processed by CPC, Benguluru.

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• 3. PROCEDURE OF ISSUING REFUND
• After filing return of income, CPC Benguluru
  processes the return and issues intimation u/s
  143(1) by either accepting the returned income or
  by raising demand or reducing refund. If it
  accepts the returned income then refund is issued
  within 30-45 days. If it does not accepts the
  returned income then proposed adjustment u/s
  143(1)(a) is raised and taxpayer has to respond
  giving adequate reply. If the response is
  accepted by CPC Benguluru then refund is
  processed. The refund is given along with
  applicable interest.4. REASONS FOR FAILURE TO
  GET REFUND There are many reasons for refund
  failure. It may be due to following reasons-

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• S.No. Particulars
• Bank Account not Validated
• Remarks - Only pre-validated bank account can be
  nominated to receive Income tax refund. Just
  adding your bank account details in income tax
  portal and mentioning the same in ITR is not
  sufficient to get refund. You have to now
  pre-validate your bank account. Pre-validation of
  bank account means you must have valid PAN
  registered with e-filing and an active bank
  account linked with PAN. The contact details
  (email ID and Mobile No.) as added in efiling
  portal should also match with bank account for
  successful validation.
• b) PAN not linked with bank accounts
• Remarks - From 1st March 2019, Income tax
  department is crediting e-refunds to bank
  accounts linked with PAN. Therefore if PAN is not
  linked to bank account then refund will not be
  issued. You have to contact your bank for linking
  process or you can do it online also through your
  banking portal.c) Change in IFSC Code due to
  Merger of Banks
• Remarks - The merger of banks changes IFSC Code
  of bank, so the taxpayer has to update IFSC Code
  and then validate the bank account to get refund.
  The income tax portal continuously reflects the
  message under Failed bank account section Please
  Note On account of merger of banks, valid bank
  accounts may have subsequently got invalidated
  due to consequent changes in IFSC/Account Number.
  It is advised to check and re-validate such bank
  accounts with updated IFSC/Account Number. It is
  therefore required to update the details.

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• S.No. Particulars
• d) Mobile No. and Email ID not matched with bank
  account
• Remark - The bank account can be validated if
  Email ID and Mobile No. matches with as specified
  in bank account. If there is mismatch in contact
  details then you will see ! warning symbol next
  to contact details in your added bank account
  section. You need to update contact details on
  e-filing portal to match details registered with
  the bank.e) Name Mismatch
• Remark - Contact branch to update name as per
  PAN, then re-validate in e-filing portal.
• f) Return not e-verified
• Remark - If return is not verified than refund
  cannot be processed. E-verification is required
  to be done within 120 days of filing of
  returns.g) Account has been closed
• Remark - Revalidate the new opened account and
  nominate it for refund

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• S.No. Particulars
• h) Operations in account have been
  stopped/restricted/put on hold
• Remark- Revalidate new account and nominate it
  for refund
• i) NRE Account
• Remark-- Refunds in case NRI can be credited to
  NRO Account and if there is no NRO Account it can
  be credited to Foreign bank account.5. TYPE OF
  ACCOUNT TO GET REFUND
• You can get refund in following types of bank
  accounts-
• a) Saving b) Current c) Cash Credit d) Overdraft
  e) NRO (Non-Resident Ordinarly) f) Foreign bank
  Account if NRI do not have NRO Account

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• 6. TIME OF GETTING REFUND
• The main concern of taxpayer is Income Tax
  Refund kab milega? The taxpayer visits many
  times to Income Tax Office and then also he is
  not getting refund. There is no timeline or
  deadline to receive income tax refund but the
  time taken to receive refund in average in
  different cases are-a) If return is processed
  u/s. 143(1) with refund due
• Timeline- Within 30-45 days
• b) If returned income is not accepted and
  response to be submitted by taxpayer
• Timeline- Within 30-45 days of processing of
  return u/s 143(1) after acceptance of response by
  taxpayer
• c) In case of refunds above Rs.50000/- Refunds
  above Rs.50000/-
• Timeline- need to follow internal risk management
  procedure of Income Tax Department, therefore
  might take 6 months to process
• d) In case of refund less than Rs.100/-
• Timeline- You will not get refund of amount less
  than Rs.100/- . It will be adjusted against your
  future demand.
• e) In case of Non-Resident Indian (NRI)
• Timeline- Within 6 months of processing of
  returns
• f) In case of Assessment Proceedings
• Timeline- Within 6 months of date of Assessment
  Order In case of Appeal Proceedings Within 6
  months of date of Appeal Effect

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• 7. SOLUTIONS IF TAXPAYER GETS LATE REFUND
• The returns filed are processed at Central
  Processing Unit(CPC), Benguluru which sends
  refund approval request to Refund banker i.e.
  State Bank of India and then SBI credits the
  refund directly to bank account of taxpayer. If
  you are not getting refund despite all the
  solutions made by you, you can implement
  following solutions-
• a) Call Helpline number of CPC Benguluru and
  request to expediate the refund. The Helpline
  number is 80-61464700, 18004190025. Normally call
  centre of income tax department does not respond
  quickly so you have to wait in queue.
• b) Submit application in grievance portal.
• c) If refund is processed in CPC, Benguluru but
  SBI has not released refund then you can call on
  18004259760 or email at itro_at_sbi.co.in.
• d) Book complaint at CPC, Benguluru and take
  complaint no. from them and then follow up.
• e) Contact Jurisdictional Assessing officer to
  get refund.Read more at https//taxguru.in/in
  come-tax/claim-income-tax-refund.htmlCopyright
  Taxguru.in

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• 8. CHECK STATUS OF INCOME TAX REFUND a) You can
  check status of your refund by using following
  link- https//tin.tin.nsdl.com/oltas/servlet/Refun
  dStatusTrack Enter PAN and A.Y. and you will get
  status of income tax refund. b) You can also
  login to income tax portal and in view e-filed
  returns section, you can see refund status.
• 9. MODE OF OBTAINING TAX REFUND From 01st March
  2019, department is issuing only e-refunds where
  refunds are directly credited to bank account of
  taxpayer. Earlier all tax refunds for a value of
  more than Rs.50000/- were issued via cheques
  through postal department. But due to many
  complications in delivering the cheques and other
  hardship faced by taxpayer, ECS system has been
  introduced where all refund claims are settled
  through directly crediting bank account of
  taxpayer. So it is important to always update
  bank account in return. 10. CERTAIN FAQ
• a) How much time does it take to pre-validate my
  bank account once I have submitted my details?
• The pre-validation is automatic. Once your
  request is submitted, it is sent to your bank.
  The validation status is updated in your e-filing
  account within 10-12 days. b) Can I validate and
  nominate multiple bank account for refund?-Yes,
  you can pre-validate multiple bank accounts and
  can nominate more than one bank account for IT
  Refund.

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• 11. OUR CONCLUSION The Government is taking
  various steps to expedite the process the issuing
  refunds. The returns are also been processed
  faster. The Govt. is in the process of linking
  PAN with Aadhar and Bank Account. It is necessary
  to always update Name, Contact and Address
  details in Aadhar, PAN, E-filing Portal, Income
  Tax Returns and Bank Account to get faster
  refund. There are also many technical glitches in
  new income tax website which is not allowing
  raising refund re-issue request. Also in many
  cases request submitted is not approved by CPC,
  Benguluru and taxpayer can only reach CPC,
  Benguluru via toll free number, calling which is
  again bigger tasks. So as of now not all problems
  have been solved but to some extent relief is
  given to taxpayer.
• Tags Income Tax RefundRead more
  at https//taxguru.in/income-tax/claim-income-tax
  -refund.htmlCopyright Taxguru.in