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Income Tax Returns: Verified but Not Processed Yet? Explained Reasons and Solutions

Filing income tax returns (ITR) is a crucial task for every taxpayer. However, many individuals are currently facing a common issue where their returns have been verified but not processed yet. This delay in processing has left taxpayers concerned and searching for answers. In this article, we will delve into the reasons behind this problem and provide solutions.

The Stages of Filing Tax Returns

To understand why some taxpayers are experiencing delays in the processing of their returns, it is important to grasp the various stages involved in filing tax returns. The process typically includes the following steps:

  1. Filing of Return: Taxpayers submit their income tax returns, providing details of their income, deductions, and other relevant information.
  2. Verification: Once the returns are filed, taxpayers are required to verify their ITR. This can be done electronically through various methods such as Aadhaar OTP, net banking, or by sending a signed physical copy to the Centralized Processing Center (CPC).
  3. Processing of Return: After successful verification, the income tax department processes the return to calculate the tax liability or refund owed to the taxpayer.

Shortened Processing Time

The income tax department has made significant strides in reducing the processing time for tax returns in recent years. According to data released by the department, the average processing time has decreased from 82 days in the assessment year 2019-20 to just 10 days in the assessment year 2023-24. This reduction in processing time is a positive development for taxpayers, allowing them to receive their refunds or complete the tax payment process more efficiently.

Reasons for Delayed Processing

Despite the improved processing time, some taxpayers are still facing delays in the processing of their returns. One of the primary reasons for this delay is the mismatch between the information provided in the returns and the data available in the Form 26AS or AIS (Annual Information Statement).

For instance, if a taxpayer declares their income as X amount in their return, but their Form 26AS reflects a different amount (Y), the income tax department will raise a query seeking clarification for the discrepancy. The taxpayer must then provide a valid explanation to justify the difference. Only after the clarification is provided will the return proceed to the processing stage.

Solutions for Addressing the Delay

If you find yourself in a situation where your income tax return has been verified but not processed, there are steps you can take to address the delay and ensure timely processing. Consider the following solutions:

1. Verify your Information

Carefully review the information provided in your income tax return and cross-check it with your Form 26AS or AIS. Ensure that all the details, including your income, deductions, and taxes paid, are accurately reflected in both documents. Any discrepancies should be rectified promptly to prevent processing delays.

2. Respond to Queries Promptly

If the income tax department raises a query regarding a discrepancy in your return, respond to it promptly. Provide a detailed explanation, supporting documents, and any other relevant information to justify the difference. Timely and thorough responses will help expedite the processing of your return.

3. Seek Professional Assistance

If you are unsure how to address the query raised by the income tax department, consider seeking professional assistance. Tax consultants or chartered accountants can guide you through the process, ensuring that your response is accurate and comprehensive. Their expertise can help resolve any issues and expedite the processing of your return.

4. Regularly Check the Status of Your Return

Keep a close eye on the status of your income tax return through the tax filing portal. Regularly checking the status will allow you to stay informed about any updates or queries raised by the income tax department. This proactive approach will help you address any issues promptly, minimizing processing delays.

Conclusion

Filing income tax returns and ensuring their timely processing is essential for every taxpayer. While the income tax department has made significant improvements in reducing the processing time, some individuals may still face delays in the processing of their returns. By verifying their information, responding to queries promptly, seeking professional assistance when needed, and staying updated on the status of their return, taxpayers can address these delays and ensure the timely processing of their income tax returns.

author

The Tax Heaven

Mr.Vishwas Agarwal✍📊, a seasoned Chartered Accountant 📈💼 and the co-founder & CEO of THE TAX HEAVEN, brings 10 years of expertise in financial management and taxation. Specializing in ITR filing 📑🗃, GST returns 📈💼, and income tax advisory. He offers astute financial guidance and compliance solutions to individuals and businesses alike. Their passion for simplifying complex financial concepts into actionable insights empowers readers with valuable knowledge for informed decision-making. Through insightful blog content, he aims to demystify financial complexities, offering practical advice and tips to navigate the intricate world of finance and taxation.

Frequently Asked Questions

If your ITR filing is incomplete and not processed until e-verified, you can verify it by submitting ITR V. For follow-up, contact CPC on their helpline numbers: 1800 103 0025, 1800 419 0025, or 080-61464700 from Monday to Friday, 8:00 am to 8:00 pm. Additionally, you can submit your grievance on the e-filing portal.

Reason: Refund Request Rejected Due to Outstanding Taxes. Action: In case of a calculation error, promptly address any notice from the Income Tax department regarding unpaid taxes. Review your documents and reassess your tax obligations.

 

Some tax returns may take longer to process than others due to various reasons, such as being sent by mail, containing errors or being incomplete, or requiring further review in general.

 

After successful verification, we will proceed with processing your tax return. It could take up to 9 weeks for you to receive your refund or for any overpayment to be credited to your account. In case we encounter any other issues, we will reach out to you, which might cause a delay in issuing your refund.

 

After verifying your identity and tax return information through this service, it may take up to nine weeks to process your return. Visit "Where's My Refund?" for updates.

 

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