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Annual Audit Reports & ITR Needs Due Date Extension
Annual Audit Reports & ITR Needs Due Date Extension

September 19, 2019

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The due date for the dealers (other than a company) whose accounts are yet to be audited as per the provisions held in Income Tax Act 1961, may get extended to 31 October 2019. This extension in the deadlines is due to the increasing number of auditing cases and also the auditors have to furnish data of GST returns in the audit report apart from checking for the business’s turnover, purchases, ITC, etc.

Work remains doubled for the auditors, firstly to audit the dealer’s annual account and secondly, filing the returns affixing the reports of the audited accounts. The huge stream of applicants may jam the server creating problems in the e-filing of returns.

Requirements by Law:

As mentioned in Explanation 2 of Section 139(1) of the Income Tax Act, 1961, for the purposes of the sub-section (1) of section 139 —

  • In case when the assessee is :
    • A company or
    • A person (other than a company) whose annual accounts are claimed to be audited under the Income Tax Act or under any other law for the time being in force or
    • Any partner entity of the firm whose accounts are claimed to be audited under the Income Tax Act or under any other law for the time being in force,
    • The due date of filing the return is the 30th day of September of the assessment year
  • In the case when assessee (referred to in section 92E) who is required to furnish a report the due date is 30th of November of the assessment year.
  • In the case of a person other than a company (who is referred to in the first clause of this sub-section, the due date is 31st day of October of the assessment year;
  • In the case of any other assessee, the due date is the 31st day of July of the assessment year.

It has been noticed that in the last years, the Legal Authorities have ordered to extend the due date of September month looking at the practical difficulties faced by the filers. Therefore, the due date of September, as above, may be increased well in advance to October 31st, 2019.


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