Income Tax Department Processes the IT returns filed by the Taxpayer, and finally they decide whether the Taxpayer is liable for Refund (or) Demand (or) NDNR (No Refund No Demand).In CPC about 7 lakh refunds are ready but can not be processed due to bank account mismatching , incorrect bank details , incorrect address , incorrect ECS particulars and other reasons .

To avoid this we have prepare a complete Guide so that smoothing processing of your return and in time Refunds .

Preventive Measures : while filing your return we should Keep following points in Mind and following particulars must be checked and filled correctly in return

If the Taxpayer is liable for Refund, Then he will receive it in 2 modes, such as
  1. Cheque 
  2. ECS (Electronic Clearance System) 
What are the necessary data necessities required in order to get the Refund through Cheque?
  1.  PAN should be Valid 
  2. Account Name should have at least 2 alpha - characters.
  3.  Account Number characteristics: 
    • There should be a minimum of 1 numeric digit (1-9) in the Account Number 
    • Forward slash and Hyphen are the only two special characters which are allowed.
    • The first digit cannot be a special character.Between two special characters there should be at least one alphabet or number, for example, /A/ is allowed but // is not allowed.
    • In Account Number, Last digit should be a number. For example, BSD124350 is allowed but ABS123C is not allowed.
    • In Account Number, any numeric string between alphabets or special characters cannot be all zeros. 
    • Account Number should not be all zero (Anything like 0, 00, 0000, 000000 etc will be Rejected) 
    • Account no & Account Name should not be null. 
what are basic data required all the validations to get the Refund through ECS?

1. Same as above regarding account no.
2. There should not be any alpha or special character in the account number field. It should CONTAIN only numbers

Corrective Measures : If refund check is returned or you have received a communication from CPC through mail or SMS regarding your refund then following action must be taken. Step by step Guide is given below.

Note :This Guide is applicable only where return are filed online . where offline returns are filed ,please contact your assessing officer.

A .What should I do, if my Refund is failed due to change in my Communication Address?

For the change in Address and all address related issues. Taxpayer has to Login to Income tax India E filing site  .

First check your refund status here  if cheque has return or refund pending due to incorrect bank details/address then do the following steps

1.Login to the above website, where in the login id will be the PAN Number and Password is which is created when logging in for the first time.

2.Now go to My account tab and select ( 143/1 , Refund Re-issue, 154 ).

3. Select Refund re-issue in new Screen

4. Three option will be shown.

  1. cheque reissue on Income tax return address.
  2. Cheque reissue on Pan address.
  3. Cheque reissue at new address 

Select appropriate option address has a drop down arrow where you can select to which address the refund cheque needs to be dispatched.

5. Select appropriate Assessment year.

6.There are few validations for verification details, so all the details entering should be same as per the Intimation.The mandatory fields( includes verification details) to be filled in are: CPC Reference number, AY( Assessment year), Refund Sequence number, Total Refund amount, Gross total income, Net amount refundable, DOB(Date Of Birth).

7.IF there is any change of name, it can be changed in Refund Re-issue specification changes,just click the radio button which says: Name as in PAN.

8.Click on save and submit button to complete it.

Within how many days I will get my refund after updating the new address in the E portal?

If all the necessary validations are satisfied, then the Refund will automatically be sent to the Banker within 3 working days, where in the Taxpayer can contact the Bank for further details.

B. What should I do, if my Refund is failed due to error in A\c number or Change in the A\c details?

a. Tax Payer needs to download the “Response Sheet” from the Income Tax website (www.incometaxindia. gov. in ) and take a printout of the same.

b. If intimation is received, then the Response sheet will be sent along with it.

c. Fill in the necessary fields in the Response sheet, Original Cancelled Cheque should be enclosed with it as a proof.

d. Incase if there is no cheque, Passbook front page/Bank statement with seal and signature is accepted.

C .Mandatory points to be noted while sending a Response Sheet:

a. Signature of the Tax Payer on the Response Sheet is Mandatory.
b. Original Cancelled Cheque should be enclosed, Photocopied cheque is not accepted.
c. The Original cancelled cheque should have printed or handwritten A/C no on it.
d. A/C number and MICR code on the Response Sheet should be as on Cheque.
e. Overwritten A/C no and Dual A/C no on the cheque are not accepted.
f. Signature on the Response Sheet and the cancelled Cheque should be same.

Response Sheet sample is given below for your ready reference ,But to process your case , please download the response sheet as show in the steps above from income tax web site

CPC has analyse the reasons for non re issue of cheque in refund cases even in the case person has sent the response sheet .

Though all the A to F are mandatory to follow but most common reason of rejection of response sheet ( re issue of refund cheque ) is

  1. Non substitution of cancelled original cheque with bank account and Micr code.
  2. Due to attaching of Photo copies of the cheque .
So please keep in mind all above points to avoid rejection of request of reissue of cheque .