Income tax professionals are asking the central government to extend the tax audit deadline beyond September 30. In response, the Rajasthan High Court and the Karnataka High Court have instructed the Central Board of Direct Taxes (CBDT) to move the deadline for submitting tax audit reports (TARs) to October 31, 2025. The income tax department expected to issue a notification shortly.
While the High Court orders apply in Karnataka and Rajasthan, a nationwide extension will rely on the CBDT’s official notification. Sources show that the CBDT expected to issue this notification soon, following the directives from the High Courts.
What High Courts Say about Tax Audit Deadline
The Rajasthan High Court’s Jodhpur bench issued a temporary order on September 24. It directed India’s main tax authority, CBDT, to extend the deadline for filing tax audit reports to October 31. During a hearing for a Public Interest Litigation (PIL) filed by the Jodhpur Tax Bar Association, the division bench of Justice PS Bhati and Justice Bipin Gupta instructed the CBDT to notify the extension and scheduled the next hearing for October 27.
Earlier deadline is 30 September
The lawyer for the petitioner association pointed out that large firms, trusts, companies, and traders must complete their annual Tax Audit by September 30. They noted that only a few days remain. Every year, about 40 lakh audit reports are submitted before the deadline. As of September 23, roughly 4 lakh audit reports have been filed, indicating that completing the remaining 36 lakh reports in less than a week is unfeasible.
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