12 lakh ITR filers for FY2023-24 have not got tax refund despite income tax dept releasing it: Check how to fix issue

economictimes.indiatimes.com:

Tax Returns where tax refunds were issued for FY2023-24, tax refunds have not been credited to the taxpayer’s account in case of about 12 lakh ITRs due to various reasons. This was stated in the Rajya Sabha by the minister of state in the finance ministry. The due date to file Income Tax Return (ITR) for individuals not liable for income tax audit for FY 2023-24 (AY 2024-25) was July 31, 2024.

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Pankaj Chaudhary, minister of state in the Ministry of Finance, said in written reply to a question asked in the Rajya Sabha: “The number of Income Tax Returns (ITRs) relating to Assessment Year 2024-25, where refund is claimed is 3.98 crore (as on 21.01.2025). Out of this, 3.94 crore ITRs are verified by the taxpayers and hence, are treated as valid. Out of such 3.94 crore ITRs, 3.68 crore refund returns are accounted with refunds issued. In 3.56 crore ITRs, refund has been paid to the taxpayers. In approximately 12 lakh ITRs, the refund issued has failed to be credited to the taxpayer’s account.”

Why 12 lakh ITR tax refunds were not credited to taxpayers’ bank accounts

Minister Chaudhary said: “In approximately 12 lakh ITRs, the refunds issued have failed to be credited to the taxpayer’s account due to the following main reasons:

1. The bank account provided in the ITR is not valid.
2. Refund was sent to the destination bank, but returned
3. Proceedings for adjustment of refund to outstanding demand u/s 245(1) of the Income tax Act, 1961 are pending.
4. PAN is not linked to Aadhaar.
5. Proceedings for