ITR processing time means the duration it takes after the return has been filed.
After ITR has been filed, the Income Tax Department takes the duration to review, verify, and finalize your Income Tax Return (ITR)
How income tax systems process ITR?
There is no standard process for the processing of ITR. It is processed by CPC Bangalore in batches based its factors.
ITR Processing Time
The processing time for Income Tax Returns can be based on a few factors:
No Demand or Refund
ITR 1 and ITR 4 taken 5 to 10 days or sometimes a few days to process the ITR. Processing is quick if there is no demand or refund.
Demand or Refund
If there is demand or refund it takes time on ITR 1 and ITR 4.
When there are long forms
ITR 2 or ITR 3 takes average 30 to 45 days for processing if there are long forms. Generally, it takes to process September to October.
Why ITR Processing takes time?
Revised ITR
If you filed a Revised ITR, it will resets the processing timeline as the new return needs to be processed a fresh, potentially delay in any refunds or final assessments.
Why Revised ITR is filed?
Revised ITR is filed if a taxpayer found that there is an errors or omissions in the originally filed return.
Reasons: This could be due to incorrect income reporting, missed deductions or other mistakes. To correct these errors taxpayers can file a Revised ITR within the time allowed by law
Defective ITR
If you filed a defective ITR it may extend the overall processing time. IT Department notify’s the taxpayer if they found their return is defective.
Reason: The reason could be due to incomplete or contains errors that make it invalid for processing.
After notice received, it must be rectified and re-submitted within the specified time (usually 15 days).
The return may be treated as invalid and lead to penalties or additional scrutiny if the defective ITR not rectified within the specified time.
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FAQs
Usually refunds are processed within 20-45 days after e-verifying your Income Tax Return. If you send the acknowledgment physically ITR-V form, it takes longer.
Yes, you can get notice. After your ITR is processed, the Income Tax Department sends an intimation under Section 143(1).
Yes, you can rectify the return after processing.