Every year we all file income tax returns (ITR) but most of us are not sure about how the process of claiming income tax refund works. For the FY 2019-20, the last date of ITR filing has been extended twice – first from July 31, 2020 to November 30, 2020 and then to December 31, 2020. Therefore, you must ensure to file your ITR before December 31, 2020 to avoid penalty.
You are eligible to receive income tax refund when you have paid more tax to the government than your actual tax liability. This usually happens when the advance tax, self-assessment tax paid and/or TDS deducted of the taxpayer is higher than the total tax liability of a taxpayer.
