CBDT to Explain why Due date of ITR not Extended in Audit Cases for
AY 2025-26
The Gujarat High Court recently sought an explanation from the Central Board of Direct Taxes (CBDT) regarding the due date extensions for the Tax Audit Report (TAR) and Income Tax Return (ITR).
Here is a summary of the key points from the ruling:
- Core Issue: The Gujarat High Court questioned the CBDT for extending the due date for filing the Tax Audit Report (TAR) for FY 2024-2025 (AY 2025-2026) from September 30 to October 31, without simultaneously extending the Income Tax Return (ITR) filing due date.
- Legal Rationale: The Court relied on its previous decision, which established that the “specified date” for the Tax Audit Report (under Section 44AB) and the “due date” for filing the ITR (under Section 139(1)) are inextricably linked.
- Contradiction to Law: The High Court previously held that extending the TAR due date alone is contrary to the legislative intent and amounts to overriding the provisions of the Income Tax Act.
- Petitioner’s Argument: The petitioners argued that since the “specified date” was extended to October 31, the corresponding ITR due date should be automatically extended to November 30, 2025, based on the definition of “specified date” being one month prior to the ITR due date.
- Court’s Direction: The Division Bench directed the CBDT to file an explanation as to why a simultaneous notification for the extension of the ITR due date was not issued.
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CIVIL APPLICATION NO. 13533 of 2025
With CIVIL APPLICATION (FOR JOINING PARTY) NO. 1 of 2025
In R/SPECIAL CIVIL APPLICATION NO. 13533 of 2025
With R/SPECIAL CIVIL APPLICATION NO. 13582 of 2025
With R/SPECIAL CIVIL APPLICATION NO. 13589 of 2025
With CIVIL APPLICATION (FOR AMENDMENT) NO. 1 of 2025
In R/SPECIAL CIVIL APPLICATION NO. 13589 of 2025
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INCOME TAX BAR ASSOCIATION & ANR.
Versus
UNION OF INDIA & ORS.
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