Gujarat HC Seeks CBDT’s Response For Not Extending ITR Filing Due Date Along With Tax Audit Report Deadline [Read Order]
Gujarat High Court has sought a response from the CBDT on why it extended the tax audit report deadline under Section 44AB but did not simultaneously extend the income tax return filing due date.
ITR - filing - Taxscan
ITR - filing - Taxscan
In a recent order, the Gujarat High Court observed that the “specified date” for furnishing a tax audit report under Section 44AB of the Income Tax Act, 1961 and the “due date” for filing the return of income under Section 139(1) are closely connected and must be treated together.
The court questioned the Central Board of Direct Taxes (CBDT) for extending the audit report deadline without extending the corresponding due date for income tax return filing.
The writ petitions were filed by the Income Tax Bar Association and others under Article 226 of the Constitution. The petitioners sought directions to extend both the specified date for furnishing the tax audit report and the due date for filing income tax returns for Assessment Year 2025-26.
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The petitioners’ counsel argued that the CBDT, through Circular No. 14/2025 dated 25 September 2025, had extended the specified date for furnishing the tax audit report under Section 44AB from 30 September 2025 to 31 October 2025.
But, the Board did not issue a corresponding notification to extend the due date under Section 139(1) for filing returns, which currently falls on 31 October 2025. The counsel argued that this approach violates Explanation (ii) to Section 44AB, which defines the “specified date” as one month prior to the due date for furnishing the return of income.
The petitioners’ counsel further argued that both provisions are linked by legislative design, so the CBDT cannot extend one without extending the other.
The counsel relied on the Gujarat High Court’s earlier decision in All Gujarat Federation of Tax Consultants v. Central Board of Direct Taxes (Special Civil Application No. 12656 of 2014, decided on 22 September 2014).
In that judgment, the court explained that the “specified date” under Section 44AB and the “due date” under Section 139(1) are inextricably linked, and the CBDT cannot override the scheme of the Act by extending only one of them.
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The Division Bench comprising Justice Bhargav D. Karia and Justice Pranav Trivedi observed that the grievance of the petitioners regarding the tax audit report had been partly addressed through the CBDT’s circular. The court pointed out that the Board must clarify why no simultaneous extension of the ITR filing due date was made, given that the two deadlines are meant to operate in harmony.
The court explained that in the 2014 judgment, it had already clarified that the CBDT cannot extend the “specified date” in isolation because it lacks statutory power to relax Section 44AB. Instead, any relaxation must come by extending the due date under Section 139(1) through powers granted under Section 119 of the Income Tax Act.
Observing this apparent inconsistency, the court issued notice to the CBDT and the Union of India, directing them to explain why a corresponding extension of the return filing due date had not been issued. The notice was made returnable on 6 October 2025.
The matter will be listed on top of the Board for further hearing.
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