ITR Deadline for Tax Audit Cases: High Courts in Punjab & Haryana, Himachal Pradesh extend the due date; Will CBDT follow?

Due date extension petitions for ITR audit cases

Himachal Pradesh and Punjab & Haryana High Courts have passed the order to extend the last date for filing the audit returns from from October 31, 2025, to November 30, 2025.

The orders have come following the decision of the Gujarat High Court to extend the deadline for tax audit cases to November 30.

In the earlier hearing of Sumit Garg vs CBDT case in the Delhi High Court the Department had informed, "The issue of ITR due date extension is under active consideration by CBDT, and the recent Gujarat High Court judgment dated 13.10.2025 is also being examined.” The Delhi High Court matter has been adjourned for tomorrow.

CBDT earlier officially extended the specified date for furnishing tax audit reports from September 30, 2025, to October 31, 2025. There is generally a one month gap between tax audit deadline and the ITR for audited cases. This time, however, because of the tax audit date extension both due dates have fallen on the same date.

The decision comes after the CBDT received multiple representations from professional associations, including various chartered accountant bodies, highlighting difficulties faced by taxpayers and practitioners in completing audit reports within the original timeline. The submissions cited disruptions caused by floods and natural calamities in certain regions, which affected normal business operations, as well as practical challenges raised before several High Courts.

Implications for taxpayers

The orders of the respective courts apply only to those states till the CBDT issues a nationwide notification. Taxpayers in other states should consult tax professionals to ensure compliance.

Who needs a tax audit?

Under Section 44AB of the Income Tax Act, businesses with turnover above Rs 1 crore must undergo a tax audit. However, the limit is raised to Rs 10 crore if at least 95% of the transactions are digital, part of the government’s push toward a cashless economy.

Freelancers and professionals such as doctors, lawyers, architects, or chartered accountants running private practices also fall under audit requirements if annual income exceeds Rs 50 lakh. Taxpayers under presumptive taxation schemes like Section 44ADA are not entirely exempt either; if they declare profits below the prescribed rate, a tax audit becomes mandatory.