Blitz Bureau
New Delhi As the number of income tax returns (ITRs) filed surged to record 7.28 crore in the assessment year 2024-25, the processing time has also been reduced significantly in the last decade, which is a transformative shift in the tax assessment methodologies in the country.
One of the big achievements of the Prime Minister Narendra Modi’s Government is the outstanding reduction in the average processing time for tax returns.
According to Finance Minister Nirmala Sitharaman, the average processing time of ITR has been reduced from 93 days in 2013 to 10 days now, thereby making refunds faster.
This has been achieved by the introduction of updated income tax returns systems and processes, and simplification of the person tax regime over the years that has made filing of tax returns easier.
According to latest figures released by the Finance Ministry, the number of ITRs filed shot up to record 7.28 crore in 2024-25. This represents a 7.5 per cent jump over the 6.77 crore ITRs filed for AY 2023-24 till July 31 last year. The IT Department received 58.57 lakh ITRs till July 31 from first-time filers this year — an indication of the widening tax base in a growing economy.
According to Sitharaman, the primary aim of the Union Budget is to simplify the tax regime and ensure equitable treatment of all asset classes. “The middle class has benefited from various tax proposals in Budgets presented by the PM Modi Government,” she added.