Breaking: No Further Due Date Extension for Tax Audit, CBDT Confirms [Read Order]

The Central board of Direct Taxes (CBDT) has today confirmed that there will be no further extension of tax audit due date. The Board was considering a representation of Tax Bar Association on extending the tax audit due date in compliance with the direction of the order from Gauhati High Court.

The Tax bar Association had approached the CBDT, the apex body of direct taxes in India for a due date extension till 31^st January 2019.

The due date originally fixed was 31^st September which was later extended to 15^th October and then to 31^st October considering the requests of the tax practitioners and the orders of the various High Courts.

On October 12^th, the Gauhati High Court had directed the CBDT to re-consider the Tax Bar Association’s representation requesting the Governement to extend the Tax Audit Due date to 31st January 2019.

While disposing the matter, the High Court has instructed CBDT to consider the representation filed by TBA for extension of due date upto 31st Jan, 2019 and dispose off the representation filed by TBA to that effect on or before 25th Oct, 2018 by way of a speaking order. The court had also elaborately discussed the problems to be faced by the assesses and accountants in case the date is not extended as requested vide the said representation.

A CBDT order issued today said that “the span of time for revising an ITR and filing a belated ITR has been considerably reduced from Assessment year 2017-18 onwards. Now the time available for filing a belated/revised ITR for any assessment year is till the end of the relevant assessment year. Therefore, granting any further extension of the prescribed due date under section 139(1) of the Act beyond 31.10.18 would be detrimental to those assessees who may want to revise their return later on and also defeat the purpose of improving the culture of tax-compliance in the country.”

“As concerns of the assessees have been suitably redressed with extension of due date by one month (i.e. till 31.10.18), representation of the Tax Bar Association, Guwahati dated 20.09.18, requesting for further extension of due date for filing ITR/TAR beyond 31.10.18 is hereby rejected,” the order clarified.