02 Apr 2020
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TDS, which stands for Tax Deducted at Source, means exactly that: it is that component of tax which is levied by the Income Tax department on your salary, depending on the income slab that you belong to. Since this component of tax is collected/levied at the source, it can often be more than the amount of tax that you actually owe.

If that's the case, you can claim a refund on your TDS, called TDS refund. You can apply for TDS refund online. With all major aspects of life digitizing rapidly, you can also go online to check your TDS refund status. Before we move on to that, here is how you can claim your TDS refund.

How to claim RDS refund

TDS refund on fixed deposit:

  • If you have no taxable income, you should notify the bank before the end of the fiscal year about the same.

  • However, if the bank still deducts tax on interests earned through FDs, you will have to file an ITR in order to get your TDS refund.

For senior citizens:

  • For people aged 60+, no tax is levied on up to Rs. 50,000 of interests earned annually through FDs.

  • In case you do not have a taxable income, you can submit Form 15H to your bank. However, if the bank has deducted the tax regardless, you can file your ITR to claim your TDS refund.

How to claim TDS refund online

TDS refund is usually claimed while filing your income tax return. It often happens to be the case that the investments you had planned at the beginning of the fiscal year do not match your investments at the end of it. In such a case, when you file your ITR, the difference between the tax charged and the payable amount will be credited to your account after your ITR has been processed. It is recommended that you provide your bank account details including your IFSC code to speed up the TDS refund process.

When you file the ITR, you will need to do an e-verification. For this, you will need an e-signature and an aadhaar based OTP or your net-banking account. This verification can also be done offline, by signing a physical copy of your ITR and sending it off to the Income Tax department. If you have already submitted your ITR, you can also check the status of your TDS refund online in three easy steps.

How to check TDS refund status

You can check your TDS refund status through either of these steps:

  • Through the refund processing email from the IT department.

  • Check the TDS refund status using your PAN number on this website: https://incometaxindiaefiling.gov.in/

What is TDS refund period

It takes approximately 3-6 months for your TDS refund to be processed. However, the period can also be shortened by doing the e-verification

Interest on TDS

Under section 244A of the Income Tax Act, the Income Tax department pays you a simple interest of 6% on your TDS refund amount, for the applicable period. However, if the TDS refund amount is less than 10% of the tax paid, you will not get the interest on the refund.

Procedure for raising a complaint about delay in receiving ITR

Things don’t always go right - In case there has been excessive delay in getting your TDS refund, or if you face issues with verification, you can contact an Income Tax officer. You will need to keep all your documents handy for this. If you are still unable to obtain help with your complaint, you can contact the Income Tax Ombudsman to obtain further help with your complaint.

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FAQs

  • ✔️How do I change my address so that I don't miss the refund cheque?

    You can log in to the Income-tax e-filing portal and make a Refund Re-issue Request. However, this works only if you did not receive the refund cheque and it was returned to the Income Tax Department.

  • ✔️Is there an option to change contact details from what I provided in the ITR?

    Yes. You can do this on the Income Tax e-filing portal, on the 'Profile Settings'. That is where you will find the 'Update Contact Details' section.

  • ✔️Will I get a TDS refund even if I have not provided my bank account details in the TDS Certificate or Income Tax Return?

    Your correct bank account details must be provided in your TDS Certificate. Otherwise, any discrepancy might result in a transfer of refund amount to the wrong bank account.