Chartered Accountants Stage Pen-Down Strike as Tax Audit Deadline Looms, #PenDownNoExtensionNoAudit Viral on X

On September 24, chartered accountants across India launched a one-day “pen-down” strike under the hashtag #PenDownNoExtensionNoAudit, refusing to file any tax audit reports. The protest organized via social media and led by local CA associations highlighted extreme workload pressures and persistent glitches in the income-tax e‑filing system.

As one tax news site reported, professionals have been sounding the alarm about “systemic challenges” in the e‑filing portal, noting that despite appeals, deadline extensions for both tax audits and ITRs have been “either delayed or inadequate”.

The online outcry gained real-world support: CAs staged a peaceful demonstration outside the ICAI headquarters in New Delhi on the strike day, distributing appeals for relief. Posts and hashtags calling for an extension “have gained traction, with many professionals sharing stories of late nights, portal errors, and the fear of mistakes if audits are rushed”, in an expression of the community’s frustration. Many accountants complained that they have been forced to work through the festive season on glitch-ridden portals, framing the issue as one of professional dignity.

Court Orders One-Month Extension

In a key development, the Rajasthan High Court (Jodhpur bench) stepped in on September 24. It granted an interim relief, directing the Central Board of Direct Taxes (CBDT) to extend the due date for filing tax audit reports by one month. In its order, the court “directed the central government and CBDT to extend the tax audit report due date to October 31, 2025”, explicitly noting the many portal failures and backlogs. The Jodhpur Tax Bar Association later announced this order on social media, confirming that “the Hon’ble Rajasthan High Court has extended the due date for filing of Tax Audit Reports from 30th September to 31st October”.

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The bench recognized that persistent technical glitches and pending returns had overwhelmed practitioners, and thus mandated the extra month to ease the crunch.

However, this relief is technically limited to Rajasthan for now. Tax experts warn that until the CBDT issues a nationwide notification or the order is upheld on appeal, the extension officially applies only within Rajasthan.

Accounts bodies have noted dozens of similar petitions filed in other states, so nationwide relief may yet depend on further court rulings or a CBDT decision. (The court has slated a next hearing for October 27, 2025, when further directions may follow.

Demands and Grievances

The strike and petitions reflect deep-rooted grievances. CAs say the tax calendar this year has been unusually compressed: non-audit ITR deadlines were extended into mid-September, leaving auditors little time. Petitioners describe “delayed release of utilities and forms, overlapping timelines… and persistent technical glitches” on the e-filing portal. One Bhilwara tax-bar petitioner noted that “utilities forms were issued late, and technical glitches made it tough to file income tax returns on time… We hoped that the TAR [tax audit report] deadline would also be extended. But it didn’t happen, and we had to move court”.

CA leaders are now calling for far longer relief. For instance, Income Tax Bar Association secretary Shivam Bhavsar told reporters his group’s petition seeks to push the audit deadline to December 31, 2025, lamenting that “the Income Tax portal had many technical glitches” that made timely filing “very tough”. Another CA leader, Hardik Kakadiya (Surat Tax Bar), has asked the government to extend audit reports to Nov 30 (and ITR filings to Dec 31) 2025, and even push some compliance (e.g. transfer‐pricing reports) into early 2026.

Beyond deadlines, the profession is demanding structural fixes. Many accountants pointed out that large companies automatically get 45-day extensions each year, whereas tax professionals must ‘stage protests’ to win similar relief.

Comprehensive Guide of Law and Procedure for Filing of Income Tax Appeals, Click Here

They say a long-term cure lies in administrative reforms: for example, the Karnataka CA body noted that repeated deadline extensions would be unnecessary if authorities released all forms, schemas and utilities on time and ensured “a robust and glitch-free portal” for e-filing.

Official Response and Outlook

So far, the Ministry of Finance and CBDT have remained silent on a nationwide extension. No government spokesperson has announced any countrywide deadline change beyond the Rajasthan order. CAs are now awaiting any pan-India notification from CBDT, or an appeal by the department against the HC order. In the meantime, professional bodies are voicing concerns. The ICAI’s Direct Taxes Committee said it has collected over 1,200 members’ complaints about portal outages and delays, which it has forwarded to the CBDT for “quick action”.

Several state CA associations (e.g. in Karnataka and Punjab) have formally written to the PMO and Finance Ministry requesting extensions and portal fixes. With the original September 30 deadline looming and hefty penalties on the line for late audits, accountants say they will keep up the pressure. The Rajasthan HC’s order provides temporary relief, but for many CAs it only underscores how much more systemic change is needed to meet India’s tax compliance demands.

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