ITR
Getting a held refund after the PAN is operative
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Facts
Once the PAN is operative, refunds held for that reason can be paid. If the refund status shows failed, submit a refund reissue request on the portal.
Provisions and law
- Sec 139AA, Income-tax Act 1961 (now Sec 262, Income-tax Act 2025)PAN holders must intimate Aadhaar; an unlinked PAN becomes inoperative
- Sec 244A, Income-tax Act 1961 (now Sec 437, Income-tax Act 2025)Interest on refund, generally 0.5% a month or part of a month
- CBDT Circular No. 03 of 2023From 1 July 2023 an inoperative PAN gets no refund, no interest on refund, and higher TDS and TCS
Analysis
Make sure your bank account is pre-validated and linked to the same PAN. Example: an AY 2025-26 refund of ₹18,500 shows refund failed; after linking, raise a reissue request choosing the validated account. Interest is not paid for the period the PAN was inoperative.
Conclusion
- Confirm the PAN shows operative
- Pre-validate your bank account
- Check refund status
- Raise a refund reissue request if failed
- Track the credit
A Savvy can do this for you
PAN-Aadhaar linking with late fee, Sec 262 and 430 (old 139AA and 234H)
₹499
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