ITR filings lag as September 15 deadline nears; taxpayers, CAs urge CBDT to allow more time

With just 5 days left before the September 15 deadline for filing income tax returns (ITR) for the financial year 2024-25, the pace of submissions remains sluggish. Official data from the Income Tax Department shows that as of September 7, only 4.89 crore returns had been filed out of 13.35 crore registered individual users. Of these, 4.63 crore have been verified and 3.35 crore processed, leaving a large section of taxpayers yet to comply. The deadline applies to individuals and those not subject to audits.

The slow filing rate has prompted renewed calls from trade bodies, professional associations, and tax experts for an extension of the due date. Multiple organisations, including the Federation of Karnataka Chambers of Commerce & Industry (FKCCI) and the Chartered Accountants Association, Surat (CAAS), have formally petitioned the Central Board of Direct Taxes (CBDT). They argue that systemic delays and persistent portal glitches have hindered timely compliance. “The compliance load is unusually high this year,” CAAS said in a statement, pointing specifically to the late release of ITR utilities.

Why tax experts want more time

Anita Basrur, Partner at Sudit K. Parekh & Co. LLP, said taxpayers had significantly less time than usual this year. “Generally, taxpayers get about four months after the year-end to file returns. This year, since the utilities were released only after June, they effectively had just two months. Keeping this in mind, extension could be the need of the hour,” she explained.

Several chartered accountants have echoed this demand on social media. CA Himank Singla highlighted that bodies such as the Bombay Chartered Accountants’ Society, Rajasthan Tax Consultant’s Association, Gujarat Chamber of Commerce & Industry, and BJP Chartered Accountants Cell Pimpri have all urged an extension. “Extension is our logical and practical right and not an unreasonable demand!!” he wrote.

CA Chirag Chauhan added that if the tax department intends to extend the deadline, it should issue a notification without delay. “There is no benefit in waiting until the last moment, as professionals need time to plan and execute their tasks,” he said, tagging the finance minister’s office.

 

Additional challenges this year

Tax advisory platform Fintax Pro has also strongly demanded deadline relief, citing multiple hurdles. It noted that the ITR utility was released only on August 14, leaving insufficient preparation time. Frequent technical glitches, floods in several states, and the overlap with the Navratri festival later this month were listed as additional reasons.

Fintax Pro proposed revised deadlines: September 30 for non-audit ITRs, October 31 for Tax Audit Reports (TAR), November 30 for audit and transfer pricing cases, and December 31 for ITRs with transfer pricing reports. “These extensions will ensure relief for taxpayers and allow professionals to maintain accuracy and compliance,” the platform wrote.

 

Risks of missing the Sept 15 deadline

If the deadline is not extended, taxpayers who fail to file by September 15 will face penalties. Under Section 234F of the Income Tax Act, a late fee of Rs 1,000 to Rs 5,000 can be imposed, depending on income levels. In addition, interest charges may apply, and refunds will be delayed.

Tax experts caution that while an extension remains possible, individuals should not postpone filing in expectation of relief. “It is always safer to complete the return on time and avoid unnecessary penalties,” one adviser said.

As the deadline approaches, all eyes are now on the CBDT and Finance Ministry to see whether mounting pressure from taxpayers and professional bodies will result in an official extension.