An income tax refund, also known as IT refund, is a reimbursement made to a taxpayer for any excess amount paid in taxes to the federal or state government. It arises in cases where the tax paid by an assessee is higher than the amount they are liable to pay. The refund is issued once the return has been successfully filed and verified by the Income Tax Department. The amount of refund receivable is computed and shown in the tax return. To claim an income tax refund, taxpayers must file their returns and claim their refund by the end of the assessment year. For example, for AY 2022-23, taxpayers must file their returns and claim their refund by March 31, 2023. Taxpayers can claim their income tax refund by filing their income tax return online and verifying it within 120 days. Once verified by the Income Tax Department, the income tax refund will be credited to the taxpayer’s bank account. Taxpayers can check the status of their income tax refund on the NSDL website or through the e-filing portal of the Income Tax Department.