Tax Experts Urge Government to Extend ITR and Audit Deadlines for AY 2025-26 Amid Portal Glitches

New Delhi, Sep 11 (TheTrendingPeople.com): Chartered accountant associations and tax lawyers have called on the Union Finance Ministry to extend income tax return (ITR) and audit filing deadlines for the assessment year (AY) 2025-26, citing persistent issues with the e-filing portal, delays in the release of key forms, and overlapping compliance timelines.

KSCAA Flags Severe Compliance Challenges

The Karnataka State Chartered Accountants Association (KSCAA) has submitted a detailed representation to the ministry highlighting that several ITR and audit forms—such as ITR-5, ITR-6, ITR-7, and key audit reports—were released only in July and August this year.

“The long-established practice of notifying ITR forms by 1 April has once again not been followed. This year, the delays have been particularly grave, severely limiting preparation time for tax filers,” the association said.

KSCAA also flagged multiple technical glitches on the income tax portal, including:

• Frequent downtimes and error messages during peak compliance periods.
• Discrepancies in Annual Information Statements (AIS).
• Incorrect prompts requiring CGAS (Capital Gains Accounts Scheme) details for returns under Sections 54/54F, even when investments were fully utilised.

The association added that overlapping statutory deadlines for GST, MCA filings, and tax audits are compounding the pressure. It also noted that the adoption of ICAI’s Guidance Note on NCE financials has significantly increased the audit workload because of expanded disclosure requirements.

Additionally, KSCAA pointed out that national holidays and weather-related disruptions have further reduced the number of effective working days for professionals.

CIRC of ICAI Seeks Extension for Tax Audits

The Central India Regional Council (CIRC) of the Institute of Chartered Accountants of India (ICAI) also echoed these concerns. In its request, CIRC urged the government to extend the tax audit report submission deadline from September 30 to December 31, 2025.

The body argued that a deadline extension is crucial to avoid undue hardship for taxpayers and professionals struggling with compressed timelines.

Tax Lawyers Join the Call

Alongside chartered accountants, tax lawyers under the Advocates Tax Bar Association (ATBA) also pressed for deadline relaxations. The association requested:

• Extension of non-audit ITR filing to October 30, 2025.
• Extension of tax audit reports to November 30, 2025.
• Extension of ITR filings in audit cases to December 31, 2025.
• Extension of transfer pricing (Form 3CEB) to January 31, 2026.

The ATBA noted that staggered deadlines will help streamline compliance and ease the burden on professionals during peak filing seasons.

Recent Government Extension and Growing Demands

The fresh appeals come shortly after the government extended the non-audit ITR deadline to September 15, 2025. However, professional bodies argue that this relief is inadequate given the scale of ongoing challenges.

With multiple associations now raising alarms, the Ministry of Finance faces mounting pressure to provide clarity and potentially announce further deadline extensions.

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Final Thoughts from TheTrendingPeople.com

The growing chorus from chartered accountants and tax lawyers underscores the need for systemic reforms in India’s tax compliance framework. While the government has taken steps such as extending deadlines in the past, persistent technical glitches, delayed notifications, and overlapping statutory requirements continue to burden professionals and taxpayers alike.

Extending deadlines for AY 2025-26 could provide much-needed breathing room, but experts argue that long-term solutions—such as timely release of forms, stable digital infrastructure, and rationalised compliance calendars—are essential to address the root of these recurring challenges.