Why your Income Tax Return processing and refund for AY 2025-26 may take longer

During peak season, near the due date, ITR processing takes longer as the IT department receives too many filings. Remember that while refund processing can take time, you will receive it without fail. As of September 14, 6.69 crore ITRs have been filed, and over 6 crore returns have been verified. However, only 4 crore verified ITRs have been processed by the Income Tax Department. Nearly 8 crore taxpayers are expected to file ITR for AY 2025-26, which means that around 1.3 crore ITRs are yet to be filed, and over half of them are yet to be processed. If you have filed your income tax return (ITR) for the assessment year 2025-26 (AY26) and are waiting for your refund to be processed, you might have to wait longer. Legally, the IT department has up to nine months from the end of the financial year, in which the return has been filed, to process refunds. However, it usually takes no more than 4-5 weeks. Why is processing and refund taking so long? While most tax refunds are credited within 4-5 weeks after the return is e-verified, the processing can take more time in some cases. Here are some reasons why your refund credit might be delayed: If you haven’t e-verified your return, the process remains incomplete. If you fail to verify within 30 days of filing, your return will become invalid, and you’ll have to file all over again. Generally, ITR-1 gets processed faster as it’s the least complicated ITR form. Other forms, including ITR-2, ITR-3 and ITR-4, can take longer to be processed due to the added details and complexity, as per tax expert Balwant Jain. If you have made any errors in your ITR, like mismatched information, your ITR can take longer to be processed. During peak season, near the due date, ITR processing takes longer as the IT department receives too many filings. "While many people get their refunds earlier, delays can happen if there are errors in your return, mismatched details, or a heavy processing load during peak season. So, taxpayers can expect their refunds anytime within this nine-month period,” said Abhishek Soni, CEO & Co-founder, Tax2win. If you haven’t validated your bank account, and if the bank account details are incorrect, your refund processing will be delayed. In this case, you’ll get an email asking you to fix your bank details. In some cases, very small errors like an outdated mailing address or wrong account number can cause delays in the return and refund processing. If there is a TDS mismatch between Form 26AS and your return, the refund processing can take longer. “If there is any discrepancy between the TDS deductions shown in Form 26AS and the claim made in the ITR, it can delay the processing of the return and potentially lead to notices from the Income Tax Department," said Jain. If your PAN is inoperative, your refund won’t be processed until you link your PAN with your Aadhaar. You will receive a warning from the IT department in case your PAN isn’t operational. Many people have been writing on social media platforms, sharing their frustration regarding processing delays. Some filed their ITRs as early as June and July, but still haven’t received their refunds. Remember that while refund processing can take time, you will receive it without fail. Ensure that you’ve submitted everything correctly and let the IT department handle the rest. If you haven’t filed your ITR yet, there’s no better (or worse) time to do it, as today is the due date. Filing after the deadline can attract penalties and charges, and can make you lose several benefits. Taxpayers are advised to file their ITR as soon as they can, as the portal is already facing a heavy load, and by the evening, it might get even busier with everyone rushing to file just a few hours before the due date ends.