ITR Deadline Extension: Experts Warn Honest Taxpayers At Risk Due To Govt Delays

New Delhi: With the September 15 income tax filing deadline just days away, chartered accountants and business groups warn that middle-class taxpayers may face a compliance crunch caused not by their own delays but by late forms, technical glitches and natural disasters.

As of September 8, over 5 crore income tax returns (ITRs) for Assessment Year 2025–26 have been filed and 4.72 crore verified. Yet, tax professionals say the figures mask serious disruptions. The Federation of Karnataka Chambers of Commerce & Industry (FKCCI) and the Chartered Accountants Association, Surat (CAAS) have formally urged the Central Board of Direct Taxes (CBDT) to extend the deadline, arguing that taxpayers are being penalised for system-driven delays.

In letters to the CBDT, FKCCI cited major changes in ITR forms and repeated failures of the e-filing portal. CAAS called the situation “administrative indifference,” noting that key ITR utilities—Forms 5, 6 and 7—were released only between August 8 and 21, leaving barely six weeks for one of the year’s most intensive audit cycles. It also pointed to flooding across multiple states that shut offices, caused power cuts and disrupted logistics. Rather than a simple extension, CAAS has demanded “time compensation” for days lost due to factors beyond professional control, and criticised the expectation of round-the-clock compliance during the festive season.

So far, the Income Tax Department has not responded to these requests. With the filing window closing fast, stakeholders warn that failure to address the issue could erode trust in the tax system and leave lakhs of honest taxpayers and professionals at risk of missing deadlines through no fault of their own.