Income Tax Refund Time in India: From 93 Days to Just 17
According to latest CBDT data, the average income tax refund time has reduced drastically—from 93 days in FY 2013-14 to just 17 days in FY 2023-24. This marks a major compliance and tech leap for India’s tax administration, offering welcome relief to lakhs of taxpayers.
In this blog, we break down what this means for you, how refunds are processed, and how to avoid delays.
How Has Income Tax Refund Processing Improved?
As per data released by the Central Board of Direct Taxes (CBDT):
| Financial Year | Average Refund Time (Days) |
|---|---|
| FY 2013–14 | 93 days |
| FY 2020–21 | 26 days |
| FY 2023–24 | 17 days |
CBDT’s e-Verification and CPC upgrade have played a crucial role. Key reforms include:
- Faceless processing under Section 143(1)
- Automation at CPC, Bengaluru
- Real-time PAN–Aadhaar validation
- Push for e-filing and pre-filled ITRs
- Faster bank account validation and refund credit via ECS
Expert View:
“This 17-day refund cycle is a benchmark few countries have achieved. It shows how a digital-first tax system can increase trust, especially among small taxpayers,” says a senior tax consultant working with Efiletax.
How to Get Your Income Tax Refund Faster
Even with average refund time now reduced, delays still occur due to minor errors. Here’s how to avoid them:
✅ File your ITR early, ideally before 31 July
✅ Link PAN with Aadhaar
✅ Pre-validate your bank account in the e-filing portal
✅ Double-check Form 26AS and AIS for income mismatch
✅ Avoid high-value cash deposits or undeclared income
✅ Respond to any e-verification notice within the deadline
What If Your Refund Is Still Delayed?
If your refund hasn’t arrived in 17–30 days, here are the steps you can take:
- Log in to incometax.gov.in
- Check refund status under “View Returns/Forms”
- Verify bank account status and CPC intimation
- If needed, raise a grievance on the e-filing portal
- Contact CPC helpline: 1800-103-0025
If refund is stuck due to income mismatch or defective return (under Section 139(9)), you’ll need to revise or respond accordingly.
Legal Angle: Time Limit for Refunds
While there’s no fixed statutory deadline for refund processing, the Income-tax Act, 1961 provides:
- Section 143(1): Summary assessment within 9 months from end of FY in which ITR is filed
- Section 244A: Interest is payable if refund is delayed beyond this period (usually 6% p.a.)
📌 CBDT also issues periodic instructions to ensure timely refund, especially for senior citizens and small taxpayers.
Why This Matters for Taxpayers
- Better cash flow for salaried employees and professionals
- Reduced dependency on follow-ups and intermediaries
- Encourages timely and voluntary compliance
- Builds trust in digital governance
If refund processing time stays under 20 days consistently, India could set global standards for refund efficiency.
Efiletax Tip: Use a Verified Tax Expert
Most refund delays stem from incorrect disclosures, wrong ITR forms, or bank validation errors. Efiletax offers:
- Pre-filing checks to match Form 26AS & AIS
- Real-time updates on refund status
- Expert guidance for refund issues or defective return responses
FAQs
1. What is the current average refund time for AY 2024–25?
As per CBDT’s latest data, the average refund time has been brought down to 17 days.
2. Is interest paid if refund is delayed?
Yes, under Section 244A, interest is paid if refund is delayed beyond the allowed time.
3. Can I change my bank account after filing?
Yes, but you must update and re-validate it through the income tax e-filing portal.
4. What if I filed late—will I still get a refund?
Yes, refunds are still issued, but interest under Section 244A may be reduced if there’s delay in filing.
Summary
CBDT data shows average income tax refund time dropped from 93 days in 2013 to 17 days in 2024. Learn how to get your refund faster, avoid delays, and check refund status online.
Want a smooth, fast refund this year?
Get your ITR filed early and error-free with Efiletax. India’s trusted tax experts are just a click away.