How to claim previous year's uncredited refund not paid by IT Dept?

Hello,

Last AY (2022-2023) I would have had a refund of Rs.85 because the Bank had deducted TDS (incorrectly). The new ITR site showed the refund amount correctly but refused to pay because the refund was less than Rs. 100. (I opine that this is foolish & unjust in the era of digital payments but that is for another day).

On researching about this, I read that the uncredited refund would be credited by adding it into "future" refunds whenever the total claimed amount would be more than 100.

This AY (2023-2024) , again I have a refund due of Rs. 90 (Same bank. Same incorrect TDS deduction.) On its own, this refund would again be refused by the IT Dept but claiming it along with the last years uncredited refund makes the total above Rs. 100.

However, the ITR-1 form on the site shows no trace of the uncredited TDS refund of the last year. So my queries are...

1.) Am I right in assuming the 2 uncredited tds refunds can be added?

2.) Why doesn't the ITR form show that the IT Dept is liable to pay my previous year's uncredited refund?

3.) If I am right, where & how to add the previous years uncredited refund amount? What should be the title?

Thank you very much.

Hi! Here’s a clear breakdown for your situation regarding the small TDS refund amounts under Rs. 100 that are uncredited by the Income Tax Department:

1) Can uncredited refunds from previous years be combined with current year refunds?

Yes, your understanding is correct.
The Income Tax Department has a practice that if the refund amount is less than Rs. 100, it is not credited, but it is carried forward and added to the refund amount of subsequent years. When the cumulative refund amount exceeds Rs. 100, the refund is processed.

2) Why doesn’t the ITR form show previous year’s uncredited refund?

The ITR form and the online portal only show details based on the current year’s return and do not display uncredited refunds from previous years automatically.
The uncredited refund is reflected in the department's system but not on your ITR form or Form 26AS.
The amount is tracked internally by the department to be adjusted in your future refunds.

3) How to claim the previous year’s uncredited refund?

You do not need to explicitly add the previous year’s uncredited refund anywhere in the ITR form. It is not shown as income or refund in the ITR.
When you file your current year ITR, the system and the department will automatically consider the uncredited refund and add it to the current year’s refund due.
Ensure your current year’s refund claim amount exceeds Rs. 100 so the combined refund can be processed.
You can verify the total refundable amount in your Form 26AS or on the Income Tax e-filing portal under the refund section once your return is processed.

Summary:

Query	Explanation
Can refunds be combined?	Yes, previous uncredited refund is combined with current refund
Why no show in ITR form?	ITR only shows current year data, past uncredited refunds are tracked internally
How to claim previous refund?	No manual entry needed; department adds it automatically when total refund > Rs. 100