Income tax audit report deadline for FY24 extended to THIS date amid e-filing portal issues

Tax audit extension: The Central Board of Direct Taxes (CBDT) has extended the due date for submitting income tax audit reports for the Assessment Year 2024-25 by seven days to October 7, 2024, citing technical issues on the e-filing portal.

CBDT announced the deadline extension on September 29, a day before the original deadline of September 30, after multiple complaints from taxpayers about difficulties uploading their reports. 

This last-minute extension could mean relief for assesses, as the penalty for submitting a tax audit report after the deadline is ₹1.5 lakh or 0.5 per cent of total sales, whichever is lower.

“Central Board of Direct Taxes (CBDT) has decided to extend the specified date for filing of various reports of audit for the Previous Year 2023-24, which was 30th September, 2024 in the case of assessees referred in clause (a) of Explanation 2 to sub-section (1) of section 139 of the Act, to 07th October 2024,” the Income Tax department stated in its latest circular released on September 29.

Tax audit date extension: Applies to which taxpayers?

According to the CBDT circular, the extension applies to all taxpayers, including individuals, companies, and other assessees whose income tax returns are due by October 31, 2024, and who were initially required to file a tax audit report by September 30.

All assesses required to undergo a tax audit can now upload their tax audit report by October 7, 2024. While taxpayers who miss the revised deadline can still submit their reports, they will face penalties and might have their income tax returns marked as defective if they continue to delay beyond this period.

Slow income tax portal

CBDT's decision to extend the deadline was driven by reports of sluggishness in the e-filing portal, which many taxpayers found difficult to navigate. Numerous taxpayers reported problems with the e-filing portal, which was slow and hindered timely uploads of reports.

Consequently, the Central Board of Direct Taxes extended the filing deadline deadlines using its authority under Section 119 of the Income Tax Act.