UPDATE ON 14.09.2015
High Court has not accepted the Writ and said that the issue involved partakes the character of Public interest and Appellant should have filed Public Interest Litigation (PIL) instead of Writ Petition. High Court has allowed assessee to file PIL.
What Next
We will keep updating you on the issue and also on other writs which are being filed through out the country for Tax Audit Due Date Extension.
10.09.2015
CA Avinash Gupta and Tax Research Foundation, Delhi has filed a Writ petition in Delhi High Court on 10.09.2015, seeking Extension of due date of Tax Audit Report required to be filed Under Section 44AB of the Income Tax Act,1961 for Assessment Year 2015-16.
Writ details are as follows :- Avinash Gupta and Ors V/s Union of India and Ors (Delhi High Court) , WP(C.) of 8771 of 2015.
Writ is likely to be listed in Court Room No. 09 on coming Monday i.e. on 14th day of September, 2015.
It is to be noted that last year too many Chartered Accountants & Tax Association has filed writ petition in various High Courts across India and got the due date extended.
This Year CBDT has already rejected any possibility of Due date extension vide its Press Release dated 09th September 2015 which has drawn several criticism from those Associated with Tax Audit Related work.
In the coming Various Tax association from Other parts of Countries and Chartered accountants are also likely to move to other High Courts to get the Tax Audit and Return Filing date extended.
We are attaching herewith Draft of Writ Filed in Delhi High Court and also reproducing below the Grounds on which the writ been filed for the benefit of our readers –
GROUNDS OF APPEAL
A. Because the decision of the Respondent No.1 and 2 vide its Press Release Dated 09.09.2015 by virtue of which, the Respondents has denied to extend the date for filing of returns due by 30.09.2015 for Assessment Year 2015-2016 for certain categories of Assesses including Companies, and Firms and, Individuals Engaged in Proprietary Business/Profession etc., whose Accounts are required to be Audited in terms of section 44AB of the Income Tax Act 1961, is unreasonable, unjust, arbitrary, illegal and unconstitutional and that the same is inter-alia, in violation and contravention to Article 14, and Article 19 (1) (g) of the Constitution of India, as the same is infringing the fundamental rights of equality, trade and profession which is guaranteed under the Constitution of India.
B. Because the Respondent No.1 and 2 ought to have extended the date of filing of Returns due by 30th September for Assessment Year 2015-2016 for Categories of Assesses Including Companies, and Firms and, Individuals Engaged in Proprietary Business /Profession etc., whose Accounts are required to be Audited u/s 44AB of The Income Tax Act, 1961 from 30.09.2015 to 31.12.2015, on the account of belated notification of the Income Tax Form with the exorbitant delay.
C. Because the decision of the Respondent No.1 and 2 as mentioned in the said Press Release is inter-alia unreasonable, arbitrary, unjustified and unconstitutional, as the same is causing grave prejudice and harassment, not only to the concerned Tax Payers but also for the Chartered Accountants community at large, who are responsible for conducting the tax audit and further to file the same alongwith the Income Tax Return in accordance with Law, in as much as in the given facts and circumstances the time left to make compliance of Section 44 AB of Income Tax Act has been reduced, as the Respondents much after 01.04.2015, has belatedly notified the Income Tax Forms for respective categories of Tax Payers.
D. Because the Tax Payer as well as the Respondents expect from the Chartered Accountant a 100% compliance with zero tolerance while make compliances under the Income Tax Act, however it is not possible to justify the role to the full extent in just 23 days, as the Income Tax Return for the Assesses/Tax Payers not liable for Audit, were being filed till 07.09.2015, in terms of the period of filing ITR being extended by the Respondents on account of delay in notification of ITR Forms.
E. Because the most affected category of Tax Payers has been the Assesses including Companies, and Firms and, Individuals Engaged in Proprietary Business/Profession etc., whose Accounts are required to be Audited in terms of the Income Tax Act 1961 and who suffered a delay in notification of forms and consequent reduction of time wherein the delay in notifying the forms by the Respondents has reduced the time of filing Income Tax Return by 122 to 128 days respectively.
F. Because the Respondent No.1 and 2 has acted against the constitutional Right of Equality under Article 14 of the Constitution inter-alia in as much as the Respondents suo-motu has though given a benefit of extension of time to the Assesses/Tax Payers not liable for Audit till 07.09.2015 (though as per law the last date is 31.07.2015). However, similar such benefit has not been given to Assesses/Tax Payers liable for Audit u/s 44AB.
G. Because inter-alia due to the unjust prejudice and harassment being caused on account of the aforesaid reduction in time, various representations were filed before the Respondents inter-alia by Institute of Chartered Accountants of India. However, the Respondents without any application of mind and in highly unjust, arbitrary and unconstitutional manner did not consider the said representations and denied to extend the time for filing the date of Income Tax Return from 30.09.2015 to any further date vide its said Press Release Dated 09.09.2015.
H. Because as per Section 139 (1) of the Income Tax Act,1961, the Income Tax Return of every financial year ending on 31st March, should be filed in the assessment year by following dates of different categories of Tax Payers:
| Sr. No. | Category of Assesse | Date of filing ITR | Time available for filing ITR |
| 1. | Assesses not liable for Audit under Income Tax Act or any other Act. | 31st July | 122 days |
| 2. | Assesses liable for Audit under Income Tax Act or any other Act (except mentioned in Serial No.3) | 30th September | 183 days |
| 3. | Assesses covered under transfer pricing regulations | 30th November | 244 days |
That accordingly, as per law, the respective Forms under which the respective categories of Tax Payers are required to file their respective Income Tax Return, has to be duly made available to respective categories of Tax Payers on the very first day of the assessment year, so that every tax payer, duly know the manner/prescribed format in which the Income Tax Return is required to be filed and accordingly have sufficient time to further file the Income Tax Return in the prescribed format.
I. Because the Respondent No.1 and 2 despite knowing well the essence of time in filing Income Tax Returns, under the garb of alleged reforms and ease of doing business has deliberately failed to notify the prescribed income tax return forms for respective categories of Tax Payers.
J. Because the Respondent No.1 and 2 notified the Income Tax Return Forms for all types of Assesses (auditable and non-auditable) at a belated stage, on different dates being as under:
| Sr. No. | Forms for the Category of Assesse | Date of Notification of Forms | Date of enabling E-Filing | Reduction in Time (Days) |
| 1. | ITR 1 & 4S | 23.06.2015 | 23.06.2015 | 83 |
| 2. | ITR 2 & 2A | 23.06.2015 | 29.06.2015 | 89 |
| 3. | ITR 3,4 & 7 | 29.07.2015 | 01.08.2015 | 122 |
| 4. | ITR 5 | 29.07.2015 | 02.08.2015 | 123 |
| 5. | ITR 6 | 29.07.2015 | 07.08.2015 | 128 |
It is submitted that on account of the said delay on the part of Respondents in notifying the said Forms, the Tax Payers of the respective categories has suffered a grave prejudice, as due to the same, the respective Forms were not available to the respective categories of Tax Payers, as on 01.04.2015. It is submitted that on 01.04.2015, the right of every tax payer, duly accrues to know the manner/prescribed format in which the Income Tax Return is required to be filed and the right to further file the Income Tax Return in the prescribed format, which ought to have been made available on 01.04.2015. That as is apparent from the aforesaid chart, due to the said belated notification of forms, the different categories of tax payers have suffered and prejudiced on account of reduction in time in preparing and filing the Income Tax Return.
K. Because while notifying the Income Tax Forms for Assesses not liable for Audit under Income Tax Act, the Respondents acknowledging the fact of reduction in time for filing ITR for 81 days, suo-motu extended the date of filing ITR for the said category initially by 31 days i.e 31.08.2015 and further extended the said date by another 7 days i.e 07.09.2015.
L. Because the Ministry of Corporate Affairs came out with various notifications/clarifications in the new Companies Act, 2013, which has direct implications on the filing of Income Tax Return and the Audit of the Companies under Income Tax Act, 1961. It is also pertinent to mention that the provisions of the said enactment are being made applicable for the first time, while preparing the Annual Accounts of the Corporate Entities.
Further, in this vague situation and circumstances, the most affected category of Tax Payers has been the Assesses including Companies, and Firms and, Individuals Engaged in Proprietary Business/Profession etc., whose Accounts are required to be Audited in terms of the Income Tax Act 1961 and who suffered a delay in notification of forms and consequent reduction of time wherein the delay in notifying the forms by the Respondents has reduced the time of filing Income Tax Return by 122 to 128 days respectively.
Download Copy of Writ Petition Filed in Delhi High Court
(Republished with Further updates)
Any news from high court
Date should be extended
CBDT itself should extend the date by 2 months without waiting for court directions
Any good news ?
Hi,
Any updates? will the due date be extended?
Very good effort by CA Avinash Gupta and Tax Research Foundation.
All the best
Hope the learned judge understands our woes and rules in CA fraternity’s favour. Thanks for the efforts put in by CA Avinash Gupta & others
My best wishes for the writ petition. Due date for TAR should be extended at least for 1 month.
all the best, we are with you
Should be Extended because ITR forms not realesed intime.
Good step taken, it is not possible to file before 30/09/15 must be extend due date upto 31/12/15
any Judgement Announced From High Court
Well BEGIN is HALF done…
All the BEST. Expecting some affirmative response from the Hon’ble Delhi High Court…
This Step should have been taken by long back. but still a good postive step, Hope the Court extends the date
Very good initiative. Date should be extended
my request to CBDT for Extension of due date u/s 44AB
Sir In our AP , Our CT department bring Lot of Changes in filing of VAT Returns from the month of June. So we fully concentrated in this work till August ending.And also our Dealers are not yet happy with CT department. So we are unable to complete the Tax Audit Accounts with in the short time. So Please Kindly Extend due date of 44 AB Tax Filing to 30-11-2015.If we are not Complete the Accounts how can CA’s are doing Audit? So please Under stand The Problem and move to extend due date at least 60 days.(30-11-2015)
Karanam Subba Rao, Anantapur, Andhra Pradesh
It is very unfortunate for professionals that in most of the cases professionals are compelled to go court.CBDT has taken decision arbitrarily, unjustified and illegal in the eye of law. He is misusing his power. why does CBDT not release form in April. It should be released in APRIL.Plan to release the form Must be made before April. Ministry must direct to release the form in April in every year.
Please extend for 45 days for tax Audit cases instead of 37 days for non audit cases as we are facing power failures in our state karnataka.Hope I am not wrong on my part.
We really want an extension especially in Karnataka-Bengaluru.We are facing power failures. We are not able to update ourselves for filing works and auditors are also not able to fulfil their tasks. Since the date has been extended for 37 days for non tax Audits case, the same extension to be made at least 45 days for Tax Audit cases.
Sir,
Very good. Sufficient time must be given to file correct data. It will be better if CBDT extend due date itself instead anyone approach to H’ble High Court or H’ble Supreme Court.
Very Good
Instead of fighting every year,we should find permanent solution to this
& Andhra pradesh State new format given for Vat Returns filing with Purchases & Sales invoices uploading system that system are new introduced that vat return filing taking many hours & days so w e f June 2015 On wards please extend time for tax audit I.t.Rerurns
Good step. Hope Honourable Court consider d application as earliest.
the due date for filing tax returns subject to tax audit should b extended on following grounds:
1. the due date for returns not subject to tax audit was extended upto 7th sept. its quite natural that tax audit work will begin after that.
2. the clients r coming in between for calculation of their advance tax. this will continue till 15th september.
3. this year lot of time is taken in getting the digital signature. documents r reqd to be attested from bank manager. some bank managers r asking unnecessary questions. even digital authorities r taking lot of time in issuing the DSC. if we apply 10 applications, they give 7 and say there will b verification of others. this is giving lot of tension.
4. Now all bank accounts and aadhaar need to b given. it takes time to find IFSC for all bank accounts.
5. its bcoz of these reasons above, lot of time is being consumed in non constructive work.
6. there will b very limited time left in preperation of tax audit report and errors r bound to happen in hurry which may expose the cases to scrutiny on the basis of mere clerical errors and not on the basis of genuine grounds.
The purpose of the TAR was to assist the Department in getting the information and the Assessee ,to file the correct information. In order to achieve the dual purpose, CAs ensure that the desired results are met. With the stringent penalty provisions and indictment of the Professionals by the Statutory Authorities in the recent times, it is important for them to execute their duties cautiously and to report accurately, as is expected of them. Scrutinising the whole lot of data of various Assessees, is a Herculean task. One is always at the tenterhook till the ITR and TAR forms put in the domain. Then there are glitches of filing and uploading. All this requires time and endurance. If the forms are available by the first day of the AY, there is ample time available to vet the forms and compile the relevant information accordingly. The Department must view the problem from our perspective too. Treat us as , in a way, Amicus Curiae, in so far as in providing the facts.
Resorting to writs every year by the Professionals for seeking justice, indicates the dictatorial attitude and undermines the sanctity of the Board.
I endorse and support the writ petition filed in Delhi High Court. Hope justice will be imparted by suitable directions of the Hon’ble Court in favourable to the petitioners.
God save our CA Profession from the Govt Atrocities.
It is really very unfortunate that Government and that too Modi Government is not listening to our woes. Every year we have to approach Court and feel the stress. The amended Companies Act has made our life miserable and top of it Government is expecting us to complete filing in a short duration. Are these called “Acche Din” ? It is easy to promise “Achhe Din” as an election propoganda but in real life , we are not seeing a bit of it. I support CA Avinash Gupta for a bold step of filing petition.
Thanks for the efforts. But unfortunately every year we have to go to the courts for getting justice. Another fact is chartered accountants don’t have the same kind of unity and courage as our brothers in legal profession. I feel for 1 year if all CAs across the country unitedly refuses to adhere to the government pressure, probably then the voice CAs can be heard.
Only God & honorable High Court can help us.
VERY GOOD AS IT DEPT ALREADY WALK DELAY TO PUT ONLINE ITR SCHEMA HENCE ALL TAXPAYERS EXPECTED THAT THE DUE DATE OF AUDITED TAX PAYERS MUST EXTEND FOR ONE MONTH
NOW AS DEPT REFUSE THE DEMAND HENCE ALL HOPE ARE GONE OVER TO COURT LET’S SEE WHAT HAPPEN
The due date for TAR & related returns should be 6 months after release of latest utility of forms and returns to avoid all litigations. Every time knocking the doors of court to get the extension is not good for our profession as govt may include other type of professionals to do tax audits, which will be a irreparable loss to our faternity
CBDT MUST PY PENALTY FOR DELAY IN ISSUE OF NOTIFICATIONS
Mr.Gupta
It is very good move,The drafting of petition is very nice.we pray god that CBDT should consider our request
After going through the grounds of writ, It seems that we will definitely gets positive result be way of extension of due date u/s 44AB read with section 139(1). Thanks of good efforts.
Good
Thanks,CA Avinash Gupta & Tax Research Foundation,Delhi.
Thx and All the Best,the onus taken by Shri Avinash Gupta is most needfull to the Fraternity.
Really doing a good job for the benefit of C.A Professional .
Our good wishes are with you . Hope the High Court will consider your application
anil varshneya
Very Good Initiative Sir
Good step take and hope high court will favor for our ca’s
Why the CBDT is not having any mandatory dates for publishing ITR Forms, or the notifications which are affecting the assessies by and large. Why opinion of the apex body i.e. Institute of Chartered Accountants which is always cooperating to the Govt. not taken into account? If such a small things are considered by the CBDT there will not be any further writs on such a non productive issues.
Good step take and all the best . Hope Honourable High Court will consider the matter and our goverment must walkup from sleep.Adv. Goel
Good step take and all the best . Hope Honourable High Court will consider the matter and our government must walk up from sleep
Very Good Initiative Sir
Fantastic drafting .All support to our friends who are working for the fraternity at large.The High court cannot turn a blind eye to the petition The case must be presented in the way and the force it is drafted.
Thanks,To CA Association in taking right steps at right time. Hope Honorable High Court will consider the matter.All the Best to All My Dear Auditors and hope will extend of due date.
well done sir. Hope Honourable High Court will consider the matter.
Even more than 1 month after notifying the forms, then keep on updating the forms due to errors/bugs in these forms,but still have guts to say that due date is not to be extended. Moreover, the quality of utilities for these ITR are very poor. those responsible for these should also be held responsible.
very good move sir congratulations and wish you a success
Govt. has accepted long back that we need 2 months to complete our audit work and comply with various requirements under I.T and Companies Act. So when the date of filing the returns for assessees not required to get their account audited was extended from 31/08/2015 to 07/09/2015, the due date for filing the returns of assessees required to get their accounts audited should have been suo-moto extended till 31/10/2015, if not 07/11/2015.
Our courts are already very busy with pending issues. So these kinds of issues should not be added to their workload every year.