Extend ITR filing due date, HC tells CBDT

The Punjab and Haryana High Court has directed the Central Board of Direct Taxes (CBDT) to extend the due date for filing Income Tax Returns (ITR) for assessees who are required to submit audit reports.

The order has been pronounced by Justice Lisa Gill and Justice Meenakshi I Mehta on four writ petitions filed by the Jalandhar Income Tax Bar Association, Taxation Bar Association, Pathankot, and Income Tax practitioners.

They approached the high court seeking a direction to the CBDT to extend the due date for filing of tax audit reports for a reasonable period from September 30 and as a necessary corollary to further extend the due date for filing tax returns.

Counsels for petitioners submitted that audit reports and tax returns are mandatorily to be e-filled. Forms of e-filing of audit report and tax returns were made available effectively by the department only in August, thereby leading to considerable reduction of time period available to petitioners for filing tax audit reports. Certain changes were carried out in respect to tax audit reports vide notification dated March 28, 2025, however, e-filing utility was made available on August 14.

The department itself acknowledged substantial changes and time required for system readiness when it extended due date for filing of tax returns in certain categories of persons other than companies.

The Bench said repeated adjournments had been granted at fervent request of counsel for the Union of India on the premise that proposal regarding extension of due date for filing of Income Tax Returns in the case of auditable assessees for sssessment year 2025-26 is under submission for early decision. Position is no different even today despite of specific and categorical order dated October 13 passed by the High Court of Gujarat, which has admittedly been attained finality.

The Bench said, “We find no ground whatsoever to further adjourn these writ petitions as has been suggested. Keeping in view the facts and circumstances as above, all four writ petitions are disposed of while directing respondent – the CBDT to issue necessary circular in exercise of power under Section 119 of the Act to extend the due date for filing of returns by assessees required to file audit report as per clause (a) of Explanation 2 to sub-section (1) of Section 139 of the Act or required to file report of audit under provisions of the Act for financial year 2024-2025 (Assessment year 2025-26) to November 30, 2025.

Senior Advocate Dheeraj Jain along with advocate Shreyanshi Verma appeared for the Union of India.