Gujarat High Court Questions CBDT For Not Extending Audit Report Deadline At Time Of Extending ITR Filing Due Date

The Gujarat High Court has questioned the Central Board of Direct Taxes for not extending the due date for filing the Income Tax Return (ITR) at the time of extending specified date for filing of the Tax Audit Report for the financial year 2024-25.

The Court was considering Petitions seeking to extend the specified date for filing the tax audit report under Section 44AB of the Income Tax Act, 1961.

The Division Bench of Justice Bhargav D Karia and Justice Pranav Trivedi observed, "In view of above decision of this Court whereby due date for filing the return under section 139(1) is also deemed to have been extended after one month from the date of extension of the specified date by the respondent Board, in our opinion, the respondent Board is required to explain as to why the simultaneous notification for extension of due date is not issued."

The Petitioner was represented by Advocate Dhinal A Shah, while the Respondent was represented by Advocate Pradip D Bhate.

Counsel for the Petitioner submitted that after filing of the Petition, the Respondents issued a Circular dated September 25, 2025 extending the “specified date” for furnishing the report of audit under any provisions of the Act for the Financial Year 2024-2025 relevant to Assessment Year 2025-2026 from September 30, 2025 to October 31, 2025 which is produced on record by way of draft amendment. The said draft amendment was granted and is to be carried out forthwith.

The grievance of the Petitioner for extending the specified date for furnishing the audit report was redressed. However, the Advocates for the Petitioners submitted that as per Explanation (ii) to Section 44AB “specified date” has to be one month prior to due date of filing the return as per Section 139(1) of the Act and therefore, the Respondents ought to have also issued simultaneous notification for extending the due date of filing of return upto November 30, 2025.

The Court accordingly issued Notices.

Cause Title: Income Tax Bar Association & Anr. v. Union Of India & Ors.

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