How to Check Income Tax Refund Status Online

In today’s digital age, managing your taxes has become easier thanks to various online tools and portals. One of the essential aspects of managing your taxes is checking the status of your income tax refund. If you’ve recently filed your income tax return (ITR) and are eagerly awaiting your refund, knowing how to track it online can save you time and reduce anxiety. This guide will walk you through the process of checking your income tax refund status online using various platforms and methods.

An income tax refund is a means through which the Income Tax Department reimburses any excess tax amount paid by the taxpayer for that specific financial year. A refund applies when the taxpayer's tax amount is higher than the actual tax liability for that particular financial year. You can claim the excess tax under Section 237 of the Income Tax Act 1961. However, this is after the verification and the calculation only once you have filed your income tax return, which is vetted by the income tax department authorities.

You can track your income tax refund status through two main methods:

1. Refund Reflection in ITR

After completing your income details in the ITR form and clicking the ‘Validate’ button on the ‘Taxes Paid and Verification’ sheet, the system will calculate your potential refund based on the data provided. This amount will appear under ‘Refund’ on the page. However, this is only an estimate; the Income Tax Department decides your refund amount once your ITR is submitted to the Centralised Processing Centre (CPC).

2. Checking Your Refund Status

You can verify your refund status using the following options:

NSDL Website

• Step 1: Visit the NSDL website.

• Step 2: Enter your PAN Number and Assessment Year on the displayed page, then click ‘Proceed’.

• Step 3: Your income tax refund status will be displayed.

Income Tax E-Filing Portal

• Step 1: Log in to the E-Filing portal.

• Step 2: On your dashboard, select ‘View Returns/Forms’.

• Step 3: Under the ‘My Account’ tab, choose ‘Income Tax Returns’ from the drop-down menu and click ‘Submit’.

• Step 4: Click on the acknowledgement number for the relevant assessment year.

• Step 5: A page will display your return details along with the refund status.

Important Note: If your refund exceeds ₹50,000, you may need to pay interest on the refund amount depending on your tax liability. It’s advisable to consult a tax professional or use a reputed bank’s tax calculator, such as HDFC Bank’s Income Tax Calculator for accurate calculations.

To read more on online income tax payments, click here.

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* The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. You are recommended to obtain specific professional advice before you take any/refrain from any action. Tax benefits are subject to changes in tax laws. Please contact your tax consultant for an exact calculation of your tax liabilities.