Tax Audit Deadline: CBDT Extends Last Date For Submitting Report To Oct. 31

The Central Board of Direct Taxes (CBDT), India’s apex direct tax authority, on Thursday extended the deadline for filing tax audit reports (TARs) to Oct. 31 from the earlier due date of Sept. 30.

The board had received representation from various professionals and associations highlighting difficulties being faced by taxpayers and practitioners in completing the audit report. The reasons also included natural calamities like floods in certain part of the country that have disrupted normal business and professional activity.

CBDT also clarified that the income tax e-filing portal is operating smoothly and without any glitches and the tax audits are being uploaded wihtout any problems.

As of Sept. 24, over 60,000 tax audit reports were uploaded and over 7.57 crore ITRs were filled till Sept. 23.

The extension in deadline follows directions from the Rajasthan High Court and the Karnataka High Court, as both asked the CBDT to push the last date to Oct. 31. Similar petitions seeking relief on the due date are also pending before other high courts.

The petitioner in the Rajasthan High Court had submitted that the utility for filing the TAR was released on July 18, and major changes were made to it on Aug. 14, while the statutory due date remained Sept. 30, thus leaving the taxpayers with only 47 days, whereas under the law, they should have been given 183 days.

The counsel for the petitioner association submitted to the court that large firms, trusts, companies, and traders are required to complete their annual audits by Sept. 30, and now only a few days are left.

Not only tax professionals but also business owners across the country have been continuously demanding an extension of the deadline, the petitioner argued on Wednesday at the Rajasthan High Court, while citing similar pleas in other parts of the country.