Process of Income Tax Refund Verification

Income TAX

According to a report presented by The Economic Times, around 5.5 crore Income tax refunds were filed in the financial year 2018-19. As per the same source, the number of individuals who filed ITR grew by 62% in 16 years between the fiscal year 2003 to 2019. Consequently, the evident increase in the number of returns shows the awareness amongst Indian residents regarding the essence of return filing.

It is vital to file ITR so that one can acquire the applicable tax benefits. And it is as much important to verify an Income Tax return to make sure the process is complete.

What is a verification of ITR?

After filing ITR, an individual needs to verify the filed ITR so that the Income Tax department can proceed with the initiated request. After verification of ITR, the Income Tax department processes the verified ITR application to generate the ITR receipt.

Further, individuals have to verify within 120 days from the date of filing income tax returns. Individuals who have applied for long tenor housing credits should know about saving tax when they take a home loan.

Process of ITR verification 

Income Tax department in India provides taxpayers and e-filers with multiple options for e-verification, as mentioned below.

  1. Online method 

Individuals can e-verify ITR using any of the three verification processes. 

1.1 Verify using Aadhaar OTP 

  • Browse to the official website of income tax e-filing and log in using valid credentials.
  • Navigate to “My Account” and select “e-verify return” from the drop-down list.
  • Portal shows the number of ITRs filed and an “e-verify” button along with it, click that.
  • Out of the three options, select e-verify using Aadhaar OTP. Tap on Generate OTP to receive or click on “I already have Aadhaar OTP” in case one has already received the OTP.
  • Input the one time password and click on ‘Submit’ button to complete the process of e-verification.
  • To check if it has been verified successfully or not, navigate to the dashboard and tap on ‘View Returns’ followed by an Income tax refund. A “successfully e-verified” message will be shown against the ITR.
  1. 2. Verify using DSC
  • Browse to official website of income tax e-filing and log in using valid credentials.
  • Navigate to “Profile settings” and choose “Register digital signature certificate.”
  • Download DSC and retrieve JAR file. Follow instructions and generate a digital signature file.
  • Now, upload the generated DSC by logging in to the portal from the “e-verify return” section.
  1. 3. Verify using EVC
  • Browse to the official website of income tax e-filing and log in using valid credentials.
  • Navigate to “My Account” and select “e-verify return” from the drop-down list.
  • The portal shows the number of ITRs filed and an “e-verify” button along with it, click that.
  • Select the preferable payment option through net banking, through Demat account, through bank account number, etc.
  • After generating EVC, input and submit it.

2.Offline method

One can send a signed ITR V form to the CPC office as a method of offline verification.

Individuals need to opt for Income Tax refund and verify it to ensure faster processing of returns to get ITR receipt. Such documents are significant to avail long term credits like Home loans as financial companies require it.

Know More: How it Helps Financial Institutions to Knowing their Customer

There are numerous tax savings and other advantages offered by home loans today which can be availed by filing timely returns and verifying it. Individuals must keep in mind to verify filed ITR so that the Income Tax department can start processing it.

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