Income tax refund delayed: reasons and fixes

A refund is delayed for a few common reasons: the return was not e-verified, it is still in the processing queue, the return and the department's records do not match, the bank account is not valid for refunds, or there is an outstanding demand or notice. Check them in that order. The first is the most frequent and the easiest to fix.

This guide is about causes and fixes. For the stages of a refund and how to check each, see income tax refund status and delays.

Quick checklist

1. The return was not e-verified

A return that is not e-verified within 30 days is treated as not filed, and no refund is processed. If the 30 days have gone, you may need to file again as a belated return, with the late fee if you were required to file. You can also submit a condonation request on the portal (Services > Condonation Request, option Delay in submission of ITR-V) with a reason for the delay, and then e-verify. The return counts as verified only once the department approves the request, and approval is not automatic. See how to e-verify your ITR.

2. The return is still being processed

After verification the return waits to be processed. Until then there is no refund to issue. Check the status stage on the portal. The department does not publish a fixed processing time. Under the Income-tax Act, 2025, the intimation must be sent within nine months from the end of the April–March year in which the return is filed; within that time, the usual answer is to wait.

3. The numbers do not match

The department takes your tax credit from Form 26AS (tax years up to 2025-26) or Form 168 (from 2026-27). If you claimed more TDS than those show, or reported less income than your AIS and TIS, the department may adjust the return and reduce the refund, or ask you to explain.

• Compare your return with AIS, TIS and Form 26AS or Form 168.
• If the department's record is wrong, ask the deductor to correct it, or give feedback on the AIS.
• If your return is wrong, file a revised return. The revised-return deadline on TaxCare's rules is 31 March after the tax year, with a ₹5,000 fee (₹1,000 if income is ₹5,00,000 or less) for a revision after 31 December.

Before making such an adjustment, the Centralized Processing Centre sends a notice of proposed adjustment. You respond on the portal under Pending Actions > e-Proceedings, agreeing or disagreeing, within 30 days from the date the notice is issued. If no response comes in that time, the adjustment is made and the intimation follows.

4. A problem with the bank account

The refund goes to the bank account named in your return. It can fail if the account number or IFSC is wrong, the account is closed, the name does not match your PAN, or the account was not pre-validated. Add and validate the account on the portal under My Bank Account, then raise a request under Services > Refund Reissue.

5. An outstanding demand

If you owe tax for another year, the department may adjust your refund against it, but it must first tell you in writing what it proposes to do. On the portal the intimation appears under Pending Actions > Response to Outstanding Demand, where you can agree or disagree with the demand.

6. The return is defective

A return with errors, such as a wrong form, may get a defective-return notice. Processing waits until you correct it. You get 15 days from the date of the intimation, or a longer period if you apply for it. If the defect is not fixed, the return is treated as invalid, as if it had not been filed.

Choosing the right form avoids this. See which ITR form to file.

7. You filed an updated return

An updated return (ITR-U) cannot produce a refund or increase one that was claimed earlier. If you expect a refund, a revised return is the route, within its window.

Interest on a late refund

TaxCare's rules for the tax year 2025-26 give 0.5% per month on a refund, and nothing if the refund is below 10% of the tax determined. Under the Income-tax Act, 2025, refund interest is in section 437: 0.5% for every month or part of a month, with nothing paid if the refund is below 10% of the tax determined. On a refund of TDS, TCS or advance tax, interest runs from 1 April after the tax year to the date the refund is granted, if you filed by the due date. If you filed later, it runs from the date you filed.

Filing for the tax year 2026-27

Nothing exists to check until the return is filed. Filing for the tax year 2026-27 opens on 01-Apr-2027, so a refund status for that year cannot show anything before that date.

If nothing helps

1. Note the acknowledgement number and the status.
2. Check for any message or notice in your portal inbox and registered email.
3. Raise a grievance on the portal: after you log in, open Grievances > Submit Grievance, choose the category, describe the issue and note the grievance acknowledgement number to track its status.
4. Ask a Tax Expert to follow up.

How TaxCare helps

TaxCare follows your return through the department's stages, keeps the acknowledgement and filed ITR ready to download, and sends e-verify reminders so the return does not lapse. It compares your figures with AIS and Form 26AS or Form 168 before filing so mismatches are fewer. If a refund needs a follow-up, you can book a Tax Expert. See pricing.

This guide gives general information and is not professional tax advice.