Income Tax Refund Services ROKADH Financial Services Private Limited

Tax Services

Income Tax Refund Services

Professional assistance for income tax refund claims and rectification
to ensure you receive your rightful refund without delays.

Income Tax Refund Overview

An income tax refund is issued when the total tax paid by a taxpayer, including TDS, advance tax, or self-assessment tax, exceeds the actual tax liability calculated during the assessment. The refund process is automated and typically processed by the Centralized Processing Center (CPC) after the ITR is filed and verified. Refunds are credited directly to the taxpayer's bank account linked with the e-filing portal and validated through pre-login or post-login status checks. Timely and accurate ITR filing, along with correct bank details and TDS reconciliation, is crucial for smooth refund processing and avoiding delays or mismatches.

Rectification under Section 154 of the Income Tax Act

This allows rectifying errors apparent on the face of records in the income tax return once the return has been processed by CPC or the Assessing Officer. Only mistakes such as misreported TDS, wrong assessment year, or data mismatch with Form 26AS qualify. The taxpayer must clearly mention the correction type and relevant supporting documents while submitting the rectification.

Key Features

Applicable after return processing is complete

Error must be apparent on the face of the record

Cannot introduce new income or deductions

Can be filed online through e-filing portal

Rectification may be initiated by AO or taxpayer

Helps correct CPC's processing mismatches

Limited to issues like TDS credit mismatch

Usually resolved in 15-30 days

Rectification vs Revised Return (Section 139(5))

While both allow correcting errors, a revised return under Section 139(5) is filed before the return is processed, and is used for making substantial changes to the original return, including adding income or deductions. Rectification under Section 154, on the other hand, applies only post-processing and only to obvious factual errors. Filing a rectification for errors not allowed under Section 154 may result in rejection.

Key Features

Rectification is for post-processed ITR only

Revised return can be filed before return is processed

Section 154 vs Section 139(5) use different rules

Revised returns allow income/deduction updates

Rectification allows factual corrections only

Filing wrong type may lead to rejection

Helps avoid legal or procedural conflict

Used for efficient and accurate ITR updates

Common Errors in Filed ITR and Their Correction Process

Many taxpayers unknowingly file ITRs with errors such as wrong TDS details, bank account numbers, or selecting the incorrect ITR form. Others may forget to include certain income heads like interest income or short-term capital gains. These mistakes can be corrected by filing a rectification request with appropriate justification.

Key Features

Covers common filing mistakes like missing interest

Errors include wrong bank details or PAN mismatch

ITR form selection errors also eligible for correction

Form 26AS and AIS must be reviewed beforehand

Online submission makes process convenient

Reduces chances of income tax notices

Ideal for non-technical but critical errors

Promotes better compliance and recordkeeping

Online Process of Filing a Rectification Request

The Income Tax e-filing portal provides a simple process for submitting a rectification request. After logging in, taxpayers can choose the appropriate assessment year, select "Rectification" under services, and specify the type of correction. They can then upload relevant documents or select from pre-filled correction options.

Key Features

Available on e-filing portal under "Services" tab

Requires selection of assessment year and type

Options include tax credit mismatch, return data error

Uploading supporting documents is encouraged

System-generated acknowledgment available

Rectification status can be tracked on dashboard

Portal provides structured guidance during submission

Avoids physical submissions and office visits

Modes of Tax Refund Claims — Comparison

This table helps taxpayers understand the differences between claiming refund via ITR, filing a rectification, and revised return, depending on the nature of the tax mismatch or overpayment.

Basis	Claim via ITR	Rectification (Sec 154)	Revised Return (Sec 139(5))
When to Use	When filing original return	When refund error is due to CPC processing	When taxpayer made error in filed return
Timeline	Before due date	After return is processed	Before assessment is completed
Nature of Issue	Straightforward refund due to excess tax	Factual errors like TDS mismatch	Incorrect income/disclosure by taxpayer
Portal Access	ITR filing section	Rectification request section	Revise ITR under existing ITR section
Document Upload	Standard attachments	Supporting documents for correction	Revised set of entire return details
Processing Time	20-45 days average	15-30 days average	Similar to original return timeline
Refund Credited To	Pre-validated bank account	Same as original ITR	Pre-validated bank account
Interest on Delay	Yes, under Section 244A	Yes, if delay not caused by taxpayer	Yes, if refund issued after due period

Need Help With Your Tax Refund?

Our tax experts can help you navigate the refund process, file rectifications, and ensure you receive your rightful refund without unnecessary delays.