However, the Income Tax Department still hasn’t finished processing a lot of ITRs. Additionally, some social media users have been venting their anger with the prolonged processing periods. Since the income tax refund won’t be credited to the ITR filer’s bank account without a successfully processed ITR.
It is important to note that the Department is unable to process the following categories of ITRs because the taxpayers have not provided the necessary information or actions:
(a) As of 04.09.2023, around 14 lakh ITRs for AY 2023-24 had been filed but had yet to be validated by taxpayers. Failure to verify the Returns creates processing delays because the Return can only be taken up for processing once the taxpayer has completed the verification. Taxpayers are asked to finish the verification process as soon as possible.
(a) The Department has requested more information on approximately 12 lakh confirmed ITRs, for which the required communication has been issued to the taxpayers via their registered e-filing accounts.
Taxpayers are asked to respond to such communication as soon as possible.
In a number of situations, ITRs have been completed and refund amounts have been determined; nevertheless, the Department is unable to issue the refunds because the taxpayers have not yet verified the bank account to which they want their refund to be credited.
The e-filing system requires taxpayers to verify their bank accounts.
What are the types of intimations that will be sent once an ITR is successfully processed?
Once the ITR is processed, the income tax department sends intimation notice under Section 143(1). An intimation notice can represent any of the following situations:
· Tax demand notice
· Income tax refund due
· Neither tax demand nor refund.
According to the PIB release, “As on 05.09.2023, 6.98 crore ITRs for AY 2023-24 were filed, out of which 6.84 crore ITRs have been verified. More than 6 crore ITRs of AY 2023-24 have been processed out of the verified ITRs as on 05.09.2023, resulting in processing of over 88% of the verified ITRs. More than 2.45 crore refunds for AY 2023-24 have already been issued.”