IT Department to release all pending income tax refunds up to ₹ 5 lakhs immediately ; Around 14 lakh taxpayers to benefit

All GST & CUSTOM refunds also to be released ; to provide benefit to around 1 lakh business entities including MSMEs

₹ 18,000 crore of total refund granted immediately

In the context of the COVID-19 situation and with a view to provide immediate relief to the business entities and individuals, it has been decided to issue all the pending income-tax refunds up to ₹ 5 lakh, immediately. This would benefit around 14 lakh taxpayers.

It has also been decided to issue all pending GST and Custom refunds which would provide benefit to around 1 lakh business entities, including MSME. Thus, the total refund granted will be approximately ₹ 18,000 crore.

 

Immediate tax refund release to provide prompt liquidity relief to individual taxpayers and business entities. Immediate administrative disbursement of pending income-tax refunds up to the announced per-taxpayer threshold to accelerate processing and provide liquidity to individual taxpayers. Parallel instructions require immediate release of pending GST and customs refunds to extend cashflow support to business entities, including micro, small and medium enterprises, creating a coordinated administrative mechanism for prompt financial relief.