The Income Tax Department has issued a stern warning to taxpayers ahead of the July 31 ITR deadline, advising them not to file false expense claims, underreport income or exaggerate deductions. These actions are not only punishable offences but can also delay the issuance of refunds, the department said.

Stating that accurate filing leads to faster processing of refunds, the department urged taxpayers to monitor their e-filing accounts for any notices or requests for revised returns prompted by discrepancies. As of July 26, over five crore ITRs have been filed for the assessment year 2024-25.

CBDT Chairman Ravi Agrawal noted that a significant chunk of returns fell under the new tax regime. He also clarified recent changes in refund withholding periods, stressing that such cases will be rare and the changes are mainly procedural.

(With input from agencies.)