The Income Tax refund status is reflected in Form 26AS, which is the tax credit statement summarising the taxes paid by an individual to the taxman.
An online facility provided by the Income Tax Department enables taxpayers to claim any excess payment of tax. It also enables the income tax assessees to check the status of a refund online, through the e-governance website of National Securities Depository Limited.
The taxman refunds the excess tax through an electronic transfer or a cheque, depending on the method used by the assessee while filing the income tax return (ITR), according to NSDL. In case of electronic transfer, the eligible amount is credited directly to the bank account of the taxpayer through a wire transfer. The taxpayer can also check the status of the refund from the NSDL website 10 days after the taxman forwards it to the bank, according to NSDL.
Know About Income Tax Refund Status:
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- A taxpayer is eligible to receive an income tax refund in case excess tax is paid either through tax deduction on payments made to him/her or direct tax payments as advance or self-assessment tax.
- Individuals can check income tax status through the website by entering the Permanent Account Number (PAN) and selecting the relevant assessment year.
- One can track the refund status by logging on to the income tax e-filing website – incometaxindiaefiling.gov.in – by clicking on the “Refund/Demand Status” option under the “My Account” tab. The refund status is also reflected in Form 26AS, which is the tax credit statement summarising the taxes paid by an individual to the Income Tax Department.
- If the refund status shows as “expired”, it means that the refund cheque received by the taxpayer was not deposited in the bank within the stipulated time. The validity of a cheque is 90 days. In such a scenario, the taxpayer is required to request a refund re-issue, according to NSDL.
- In case the return was filed electronically, a reissue request may be raised online by logging into the e-filing portal.
- In other cases, for a re-initiation of refund, the taxpayer is required to contact the Assessing Officer under whose jurisdiction the return was filed.
- In case the refund status shows as “ECS” (electronic clearing service), the taxpayer is required to request a reissue by providing the correct bank details.
- If the refund status mentions that the refund was processed through NECS/NEFT which failed, the taxpayer is required to verify the account number, account description and the MICR/IFSC code provided at the time of filing of return. The taxpayer may contact the Assessing Officer for modification in account details and re-issuance of refund.
- If the status shows that the refund was processed through direct credit which failed, it means that the bank had initiated the credit of refund amount but the transfer failed.
- This happens when the credit of refund fails due to a closed account or when the operations in the account are stopped or restricted. It also happens in case of a non-resident Indian (NRI) account or in case the account holder has deceased.