ITR Filing Deadline Extended to September 15

• 28 May 2025
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The Central Board of Direct Taxes (CBDT) has postponed the deadline for filing Income Tax Returns (ITRs) for the assessment year 2025-26, moving it from July 31, 2025, to September 15, 2025. This decision was made in light of major updates to the ITR forms introduced for the year. As stated by the CBDT, these forms have seen “structural and content revisions aimed at simplifying compliance, enhancing transparency, and enabling accurate reporting.”

In a press release issued on May 27, the board explained that the modifications called for “additional time for system development, integration, and testing of the corresponding utilities.” It further pointed out that TDS statement credits expected by May 31 would only begin appearing in early June, which would have “limited the effective window for return filing in the absence of such extension.”

The CBDT emphasized that extra time is necessary for finalizing the system integration and testing of the e-filing utilities. Additionally, since TDS credits due by May 31 will start showing only in early June, the time available for return filing would have been significantly reduced without this extension.

“To facilitate a smooth and convenient filing experience for taxpayers,” CBDT mentioned, the extended deadline ensures that stakeholders have adequate time to meet the new compliance requirements. CBDT added that an official notification regarding the extension will be released separately.

The move has been positively received by tax professionals. Sonu Iyer, Partner and National Leader, People Advisory Services – Tax at EY India, remarked that the updated ITR forms now demand detailed disclosures, such as the split of capital gains before and after July 23, 2024, in accordance with the Finance Act 2024. She highlighted the utility must incorporate these changes and the extended deadline provides taxpayers the necessary time to adapt.

Vivek Jalan, Partner at Tax Connect Advisory Services LLP, noted that the July 31 deadline has consistently been problematic due to delays in the reflection of TDS/TCS credits and the rollout of utilities. While he welcomed the new September 15 deadline, he also reiterated the long-standing proposal to make August 31 the permanent due date.

Source: CNBCTV18