Has the last date for submitting income tax audit report been extended? However for those individuals with business or professional income above the specific limits, the deadline remains the same i.e. September 30, 2023
An income tax audit is a thorough inspection of the books of accounts of a business entity or professional individual like doctors, lawyers, chartered accountants (CA) etc. An income tax audit has to be mandatorily conducted by certain taxpayers having business or professional income above a specified threshold. The Income Tax Department has set a deadline to submit the income tax audit report.Also read: Who has to get income tax audit conducted
What is the deadline to submit tax audit report?
Those who are supposed to get their books audited should submit the tax audit report on or before September 30 of the relevant assessment year.So, for those individuals who have business or professional income in FY 2022-23 (AY 2023-24) above the audit requirement threshold, should get the audit done by September 30, 2023, and the income tax audit report should be uploaded on to the ITR portal by the same date.
However, the Central Board of Direct Taxes (CBDT) has extended the deadline to upload income tax audit report by a fund, or trust, or educational institution, university or a hospital and other medical institutions to October 31, 2023, for FY 2022-23 (AY 2023-24).
"The due date of furnishing Audit report under clause…. of the Income-tax Act, 1961, in the case of a fund or trust or institution or any university or other educational institution or any hospital or other medical institution in Form 10B/Form 10BB for the Previous Year 2022-23, which is 30th September 2023, is hereby extended to 31st October 2023," CBDT stated in a circular dated September 18, 2023.
"Charitable trust, education institutions, Universities, Hospitals who are eligible for Income Tax exemption are required to file Form 10B/Form 10BB if tax audit is applicable under Income tax Act. The new rules and forms for audit came into effect from April 1, 2023, however, the same was enabled for filing at the end of August 2023. Considering difficulties faced by taxpayers, the due date of furnishing the said forms has been extended from September 30, 2023, to October 31, 2023," says Chartered Accountant Mihir Tanna, associate director, S.K. Patodia and Associates, a Mumbai based CA firm.
Also read: What are the documents required to be maintained for income tax audit
What is the last date for ITR filing with audit report?
The last date for submitting ITR on the e-filing ITR portal is October 31, 2023, for those who are liable to conduct tax audit under section 44AB i.e. individuals with business or professional income above a specific threshold.Without uploading the income tax audit report the filed ITR will be classified as defective ITR. However, if an entity is liable for tax audit under any other section apart from section 44AB then note that the last date for ITR filing is different.
Suppose an individual with business or professional income above a specified threshold has to conduct an income tax audit under section 44AB for FY 2022-23 (AY 2023-24). So, he/she has to get their books of accounts audited by a tax auditor and must upload the audit report by September 30, 2023. And then file his/her ITR by October 31, 2023.
"Normally Individuals whose books of accounts are required to be audited with business or professional income, file ITR-3 by October 31 of the relevant assessment year. However, before filing ITR they have to get the tax audit report uploaded by their tax auditor within September 30, 2023, for FY 2022-23 (AY 2023-24), " says Chartered Accountant (CA) Ashish Niraj, Founder and Partner, A S N & Company, a Delhi based CA firm.
Also read: What are the four things to check in income tax audit
"Further eligible Charitable trust, education institutions, Universities, Hospitals are required to file ITR 7. As Form 10B/10BB is required to be filed one month prior to the due date of filing ITR, the due date for filing ITR-7 is also extended to November 30, 2023, from October 31, 2023," says Tanna.
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This story originally appeared on: India Times - Author:Faqs of Insurances
