As many as 24.64 lakh income tax returns have been pending for processing for over 90 days as of January 31, 2026, according to Minister of State for Finance Pankaj Chaudhary. Speaking in the Rajya Sabha, Chaudhary stated that out of 8.79 crore ITRs filed by taxpayers till February 4, 2026, a total of 24.64 lakh returns remain pending beyond the 90-day processing period. This represents a significant backlog in the income tax processing system for the current assessment year.
The Non-Intrusive Usage of Data to Guide and Enable (NUDGE) campaign has generated substantial revenue impact, with ₹8,810.59 crore in total revenue collected. According to Chaudhary's written reply, under the NUDGE campaign, 1.11 crore updated or revised ITRs were filed over the past two years, resulting in additional tax payments of ₹6,976.50 crore. Additionally, refund claims adjusted against reduced or additional tax payments in December 2025 amounted to ₹1,834 crore.
The NUDGE campaign involves sending targeted communications to selected taxpayers, encouraging them to review and revise or update their already filed ITRs. As reported by Upstox News Desk, taxpayers are identified through advanced risk analysis that flags potential under-reporting of income or assets, or excess claims of deductions and exemptions. Many of the selected taxpayers were first-time filers or individuals who had not previously filed returns, with many responding after receiving official communications or becoming aware of the campaign through media coverage.
Those selected under the NUDGE campaign primarily include individuals who failed to disclose foreign assets or income, claimed incorrect deductions under sections such as 80G, 80GGC, or 80E, or availed of excess exemptions. According to the minister's statement, a substantial proportion of these taxpayers were first-time filers or individuals who had not previously filed returns, indicating the campaign's effectiveness in reaching previously non-compliant taxpayers.