If you are NRI living in UAE and are expecting tax refund from India, then do not make these mistakes at the time of ITR filing. A small omission can stop your refund or you can also be sent notice.
1. Giving wrong or passive bank account
If you have given an account for refund that is closed, NRE/NRO but not valid, or not link to PAN, the refund can return. Solution: Give the same bank account that is active, linked to PAN and e-valid.
2. Using incorrect ITR form
There is a separate ITR form for every type of income (eg salary, rent, capital gains). Filling the wrong form can be “defective” and delays processing.
3. TDS or Income Records Records
Your ITR information should match Form 26AS, AIS (Annual Info Statement), and TIS (Taxpayer Info Summary). Missamach = delay or investigation.
4. Forget to e-verify tax returns
E-verification is necessary within 30 days of filing ITR. OTP (Aadhaar), net banking, demat login or ATM can be done. If not done, the return will be considered invalid.
5. wrong or more deduction claim
You must have evidence while claiming discounts like Section 80C, 80D, 80G.
If you claim more than a document or limit, the refund may get stuck.
NRI deduction guide:
80C: up to ₹ 1.5 lakh (ELSS, Life Insurance, Home Loan Principal, Children’s Fee)
80D: ₹ 25,000 (herself, wife, child) + ₹ 50,000 (Senior Parents) = up to ₹ 75,000
80G: charity donation (only check/online payment valid, no more than ₹ 2,000 cash)
6. Income source hiding
FD interest, savings account interest, dividend, rent or freelance income – if low -zero. Hidden income = data missamach = delay in refund.
7. ITR late filing or missing deadline
On filing after 31 July 2025:
Fines up to ₹ 1,000 – ₹ 5,000
Interest charge
Refund delay
Potential interest loss
8. To ignore the notice of Income Tax Department
If there is a mistake in your return, the IT department sends notice – in SMS, email, or portal inbox.
If ignored them, the refund can stop.
Summary (8 point checklist)
Bank Account: Active, Linked to PAN, Verified
Right ITR Form
Matching TDS and Income Data
E-verification in 30 days
The correct claim and evidence of deduction
Show every income source
Timely filing
Reply to notice
The process of tax refund is not difficult for NRI, just caution and time is needed.
Right bank details, confirmation of form, evidence and income disclosure and timely e-verification is the mantra of SMOUSH refund!
