Tax Refunds Surge By 46 Per Cent In FY 2024-25: Finance Ministry Highlights Key Achievements

The Finance Ministry announced a significant improvement in tax refund issuance for FY 2024-25, with refunds totalling Rs 3.08 lakh crore issued between 1 April and 27 November, marking a 46.31 per cent increase compared to Rs 2.03 lakh crore during the same period in 2023.

This achievement underscores the government’s efforts to expedite tax processes and enhance taxpayer services.

The ministry noted a peak performance in the Income Tax Return (ITR) filing process this year.

On 31 July 2024, 69.93 lakh ITRs were filed in a single day, the highest ever recorded.

By 22 November 2024, a total of 8.50 crore ITRs had been filed, reflecting a 7.32 per cent increase over the corresponding period last year.

A special initiative addressed 35 lakh failed refund cases from various assessment years by ensuring refunds were processed for validated bank accounts.

This step not only expedited pending refunds but also improved the efficiency of the overall process.

The Central Board of Direct Taxes (CBDT) played a pivotal role in achieving this milestone, aided by the implementation of the TIN 2.0 platform.

Over 3 crore refunds were credited through TIN 2.0, with an error rate of just 0.002 per cent.

The ministry emphasised that this enhanced system ensures liquidity for taxpayers and promotes trust in the tax administration.

With the successful implementation of TIN 2.0, the Finance Ministry aims to sustain and further enhance its performance in the years ahead.

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