
We have moved into a new financial year, and that means taxpayers are preparing to file their Income Tax Returns (ITR) for the assessment year 2025-26. The Income Tax Department usually notifies the ITR forms in a phased manner starting in April. The tax authorities will soon make the required forms available for the ITR filing to begin this month.
Most salaried individuals wait for Form 16 before filing their yearly tax returns. Form 16 is a vital document that details the pay received and tax deducted at source (TDS) for the financial year. It assists salaried taxpayers in effectively preparing and verifying their ITR by integrating income and deduction information into one spot.
They can also use additional crucial documents to calculate their taxable income and exact tax liability. Salaried employees can file their returns by providing appropriate documentation such as monthly salary slips, Form 26AS, Annual Information Statement (AIS), and Taxpayer Information Summary (TIS).
When do we get the refund?
The first condition for income tax refund is simple: the amount paid in taxes exceeds the actual amount due - either by way of TDS or TCS or Advance Tax or Self-Assessment Tax. The tax department initiates a refund after taking into consideration all the deductions and exemptions at the time of assessment.
When does the refund process begin?
The tax department initiates the refund process only after the taxpayer e-verifies the return. According to information on the tax department website, once the return is e-verified, it takes about four to five weeks for your account to be credited.
What to do if we don't get the refund within this window?
If a taxpayer doesn't get his refund within the four-five-week window, the department suggests three things.
1) Check discrepancies in the ITR.
2) Check email for any notification from the IT department regarding the refund.
3) You can check the refund status on the e-filing as per the process detailed on the website.
The actual timeline for refund issuance is contingent upon several key factors, CA (Dr.) Suresh Surana told The Financial Express.
"These include the accuracy of the return filed, whether the TDS and income details match those in Form 26AS and AIS, the promptness of e-verification by the taxpayer, and whether the return is selected for any further verification or processing,” he added.
It is essential that the taxpayer's bank account is pre-validated and properly linked with their Permanent Account Number (PAN). While a significant number of salaried taxpayers may indeed receive their refunds within four to five weeks, the processing time may fluctuate based on the specific circumstances of each case, making the refund timeline somewhat open-ended.
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