Malad Chamber of Tax Consultants seeks Extension of Due Dates for Filing of ITR and Audit Reports for AY 2025-26, submits representation to FM

The Malad Chamber of Tax Consultants (MCTC), a prominent association of tax professionals, has urged the Union Finance Ministry and the Central Board of Direct Taxes (CBDT) to extend the due dates for filing of Income Tax Returns and Audit Reports for Assessment Year (AY) 2025-26.

In the detailed representation submitted to Finance Minister Nirmala Sitharaman and Shri Ravi Agarwal of CBDT on August 20, the Chamber cited multiple operational and technical challenges faced by taxpayers and professionals.

Founded in 1978, MCTC represents nearly 1,350 members comprising Chartered Accountants, Advocates, Company Secretaries, Cost Accountants, and Tax Practitioners. It has a history of engaging with policymakers and regularly organizes seminars and study circles on direct and indirect taxation. Currently, Adv. Rinav Ashok Khakhar, President and Shri Bhavin Mehta, Vice President head the leadership of the Chamber.

The Chamber began its plea by appreciating the government’s efforts in modernizing the Income Tax portal and its proactive step of extending the due date for non-audit cases from July 31, 2025, to September 15, 2025. However, it stressed that even with the extension, genuine hardships continue to persist due to delays in release and subsequent updates of Income Tax Return utilities and audit forms.

According to the representation, key ITR forms were released only in mid-July, while ITR-5 was made available as late as August 8. ITR-6 and ITR-7, relevant for companies and trusts, are yet to be released. Additionally, Forms 3CA-3CD and 3CB-3CD for tax audits were issued only on July 29. Even after initial release, several utilities underwent updates, leaving practitioners with inadequate preparation time to reconcile data and file accurate returns.

MCTC further pointed out discrepancies in the Annual Information Statement (AIS) and Tax Information Summary (TIS), which are causing significant manual reconciliation efforts. Instances of missing or erroneous data have been reported, raising the risk of incorrect filings. The Chamber cautioned that the rush to meet statutory deadlines could lead to errors, resulting in avoidable litigation and compliance burden on both taxpayers and the administration.

Given these circumstances, MCTC proposed new timelines, requesting that the due date for non-audit ITRs be extended to October 30, 2025, while the deadline for filing audit reports be shifted to November 30, 2025. For audit cases, the Chamber sought a revised deadline of December 31, 2025, and similarly, for returns under Section 92E involving transfer pricing, an extension till January 31, 2026.

Belated returns may be allowed until February 28, 2026. The representation further stressed that these extensions are not meant to delay compliance but rather to ensure accuracy and reduce the stress on taxpayers and tax professionals, given the changing digital-enabled taxation environment.

The Finance Ministry and CBDT are now expected to review the request duly.

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