Tax Refund Delay: Why It Can Take Up to 9 Months — What You Should Do If Your Refund Is Stuck

The deadline to file income tax returns (ITR) for FY 2024–25 is September 15, 2025. The government had already extended the earlier July 31 deadline, but tax experts believe a further extension is unlikely. Many taxpayers have filed their returns on time, and their biggest concern now is when their tax refunds will arrive.

How Long Can a Refund Take?

According to tax experts, most refunds are processed within 4–6 weeks of filing. However, under the Income Tax Act, the department is legally allowed up to nine months to process and issue refunds. This period is counted from the end of the financial year, not the filing date.

The timeline depends on:

• The complexity of the return.

• Accuracy of the information submitted.

• Whether additional verification or scrutiny is required.

Which Returns Get Processed Faster?

Experts note that ITR-1, filed by salaried individuals with simple income sources, is generally processed much quicker. On the other hand, more complex returns like ITR-2, ITR-3, and ITR-4, especially those involving business income, tend to take longer.

In recent years, the Centralized Processing Centre (CPC) has improved speed and efficiency, but delays are still common in cases involving multiple income streams or high-value claims.

Common Reasons for Refund Delays

There are several reasons why your tax refund may be delayed:

TDS Mismatch – If the tax deducted at source (TDS) details in Form 26AS don’t match the information provided in the ITR, the department withholds refunds until the issue is resolved.

Errors in ITR Form – Any mistakes in income, deductions, or bank details can slow down the process.

Business or Complex Income – Returns involving capital gains, foreign assets, or business income often require additional checks.

Last-Minute Filings – Heavy system load during peak filing periods can push refunds back.

Departmental Scrutiny – Sometimes, the tax department carries out extra verification, which can extend the timeline.

Role of Section 143(1)

Every return filed is processed under Section 143(1). The CPC checks for:

• Arithmetical errors.

• Correctness of tax calculations.

• Accuracy of tax payments claimed.

If discrepancies are found, an intimation notice is sent to the taxpayer. In such cases, the taxpayer must file a rectification request through the income tax portal.

What Should You Do If Your Refund Is Delayed?

If your refund has not arrived within the expected timeframe, here are the steps you should take:

Check Refund Status: Log in to the Income Tax e-filing portal and track the status. If it shows “Processing,” you may need to wait.

Respond to Intimation Notices: If you receive a notice under Section 143(1), carefully review it and make corrections by filing a rectification request.

File a Grievance: If the delay is unexplained, you can raise an online grievance on the portal.

Contact Helpdesk: Call the CPC helpline or use the taxpayer helpline numbers for clarification.

Verify Bank Details: Ensure the account details provided in your ITR are correct and active to avoid rejection.

Key Takeaway

• Most refunds arrive within weeks, but the Income Tax Department is legally allowed up to nine months to complete the process.

• Simple returns (ITR-1) are usually processed faster, while business or complex filings may take longer.

• The biggest cause of delays is TDS mismatch, so cross-check Form 26AS before filing.

• If your refund is stuck, keep monitoring the portal, respond to notices quickly, and file rectification requests if needed.

✅ Bottom line: Taxpayers should not panic if their refund takes time. As long as the ITR is filed correctly and verified, the refund will eventually be credited. Patience, accuracy, and timely response to notices are the keys to avoiding unnecessary delays.