Income Tax Refund Delays: Key Reasons Why Refunds Are Still on Hold

The Income Tax Department has sent tax refunds to people who filed their Income Tax Returns (ITRs) this year. However, some refunds are still getting delayed and have not yet been credited to taxpayers’ bank accounts. Such delay can happen due to issues like inaccurate bank details, mismatch of information, or pending verification.

If a taxpayer’s bank account is pre-validated on the income tax portal, the refund process usually becomes faster. Pre-validation means the department has already confirmed that the bank account details are correct and active.

Another main thing is to e-verify the ITR after filing it. The Income Tax Department starts processing the return only after e-verification is completed. If the return is not e-verified, the refund will not be issued, even if everything else is correct.

Many people have recently received mass emails and messages saying that their income tax refund is on hold. The Income Tax Department has asked taxpayers to file a revised Income Tax Return (ITR) for Assessment Year 2025-26 by December 31, 2025.

However, many taxpayers are saying that this deadline is too short for them. While many taxpayers say that they were prepared to make such corrections so quickly.

Taxpayers feel they need more time to understand the changes, collect the required documents, and arrange funds if additional tax is payable.