Income tax audit report deadline extended

The Central Board of Direct Taxes (CBDT) has announced an extension for the deadline to file tax audit reports for the Assessment Year 2024-25. Originally set for September 30, 2024, the new deadline is now October 7, 2024.

This decision comes in response to the challenges taxpayers faced with electronic submissions under the Income Tax Act, particularly due to issues with the e-filing portal.

The extension will benefit a wide range of taxpayers, including individuals, companies, and other assessees who are required to submit their income tax returns by October 31, 2024. Those who were initially obligated to file their tax audit reports by the original September deadline can now take advantage of this additional week.

Reports indicated that many taxpayers encountered difficulties navigating the e-filing portal, which contributed to delays in submitting necessary documents like Form 10B and Form 10BB. The CBDT's circular issued on September 29 acknowledged these technical difficulties and invoked its authority under Section 119 of the Income Tax Act to extend the submission date.

However, it’s important to note that if taxpayers miss the revised October 7 deadline, they may still submit their reports but will face penalties and risk having their income tax returns marked as defective.