The deadline for filing the Income Tax Return (ITR) for the Assessment Year (AY) 2025-26, which currently stands at September 15, 2025, is being in talks lately for any additional extensions due to ongoing portal hiccups and lags in Tax Deducted at Source (TDS) reconciliation. Previously, it was pushed from July 31 to September 15 for individuals, Hindu Undivided Families (HUFs), as well as non-audit cases, considering the challenges faced by taxpayers. But firms and audited companies still fall under the previous deadlines without relief.
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Portal Troubles Timely Filings with Glitches
Taxpayers and professionals still struggle with the technical issues on the income tax e-filing portal, such as sluggish response times, repeated timeouts, and crashes. Such problems have created bottlenecks, which delayed the filing process significantly. On top of that, the release of revised ITR forms and utilities was done later than expected, squeezing the effective period for taxpayers to file their returns with ease.
TDS Mismatches and Delay in Reconciliation of Data
The most critical problem increasing pressure for a longer deadline is the inconsistency between Form 26AS and the Annual Information Statement (AIS). Taxpayers use these to verify TDS credits, but errors and delays in showing accurate tax deductions have resulted in flawless filing becoming difficult. Professional associations like the Chandigarh Chartered Taxation Association (CCATAX) and Gujarat Chamber of Commerce and Industry have officially requested the Income Tax Department to discuss possibilities for extending timelines, citing these reconciliation problems on an ongoing basis.
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Government’s Dual Focus: Compliance and Calendar Discipline
Tax officials are keeping a close eye on the filing rate in conjunction with the technical functioning of the portal. Although taxpayers’ difficulties are acknowledged, government officials are reluctant to offer additional extensions. Their reluctance comes from possible disruptions to the overall tax filing system, encompassing advance tax payments, GST returns, and audit filings, all interdependent components of the fiscal administration calendar.
Filing Early Still the Best Strategy
Against this context, taxpayers are advised to file returns early to help steer clear of last-minute clogging of systems and to avoid penalties under Sections 234F or allied interest rules for delay in filing. Early filing will also provide time to clear discrepancies prior to the final deadline even if it is not extended further.
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Current Filing Status and Outlook
Till August 28, more than 3.90 crore ITRs have been submitted, only around 43% of last year’s, indicating sluggish progress. Around 2.47 crore returns are under processing, highlighting the pendency. The government will be monitoring the filing trend in the next fortnight to determine any further revision of deadlines.
Nutshell
Though technical issues and TDS credit delays have spurred demand for AY 2025-26 ITR filing deadline extension, government authorities weigh relief to taxpayers against the need to keep overall discipline of compliance intact. Taxpayers are advised to make the most of available time proactively, making the best efforts at precise and timely filings so that they do not face penalties and complications.
