As per various media reports, the revenue department is set to put a mechanism soon to ensure that all eligible tax refunds are issued within 24 hours of time frame.
Revenue secretary Ajay Bhushan Pandey has shared with the media that within 2 years of time, the income tax department, will start processing income tax returns within 24 hours of submission. Further, the tax refund claims will also be resolved simultaneously.
The central government has already sanctioned Rs. 4200 crore last month to upgrade the technological infrastructure of the Central Board of Direct Taxes (CBDT). Though the ITR submission, as well as refund claims, are already getting processed online, this move will further expedite the process and execute it in timely manner.
It should be noted that in the Interim Budget 2019 speech, the acting finance minister Piyush Goyal spoke about the need to transform the IT department into more assessee friendly government body. In his interim budget speech, the finance minister said that within two years’ time, assessment of returns selected for scrutiny will be done electronically without any human interface between the taxpayer and the tax officers.