Income Tax audit deadline extension: What happens if you miss the new due date? Key FAQs answered

Income Tax audit deadline extension: The deadline to submit an income tax audit for audit reports for the year 2024-25 has been extended to October 31, 2025, from the previous deadline of September 30.

The new due date, which was announced by the Income Tax department, on Thursday, comes after the Central Board of Direct Taxes (CBDT) received requests from various professional associations, including Chartered Accountant bodies, citing disruptions in filings caused by floods and natural calamities in parts of the country, as per the official circular.

What happens if you miss the new deadline?

Any taxpayer who is required to file an income-tax audit, misses the October 31, 2025 due date – will incur penalties in accordance with Section 271B of the Income Tax Act.

If any taxpayer fails to file the tax audit, the following may be levied as penalty:

• 0.5% of the total sales, turnover, or gross receipts, or
• ₹1,50,000, whichever is lower.

In which cases there are no penalties?

However, if there is a reasonable cause behind the failure to file the income-tax audit, penalty shall be levied under section 271B, according to the Central Board of Direct Taxes.

What documents are audited?

Income-tax audit requires the CA to audit account documents like:

• cash book,
• ledger,
• journals,

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• bank statements,
• stock records,
• and sales/purchase invoices, which authenticates the state of affairs of business as on the last date of the financial year.

Do salaried individuals need tax audits?

Salaried individuals generally do not require tax audits.

However, if any salaried individual has any income from any other source, like professional fees exceeding ₹50 lakhs or business income exceeding ₹1 crore, then a tax audit might be applicable.

Disclaimer: This article is for informational purposes only and does not constitute legal or tax advice. Taxpayers are advised to consult a qualified tax professional or refer to the official website of the Income Tax Department for accurate and up-to-date guidance before filing their returns.