The Central Board of Direct Taxes (CBDT) on Wednesday extended the deadline for filing of income tax returns and submitting audit reports for the assessment year 2025-26, providing relief to taxpayers and professionals, particularly companies, proprietorship and working partners in firms requiring mandatory audits. The revised dates are December 10 and November 10 respectively.

This was the second extension for furnishing the audit report. Earlier, it was extended from September 30 to October 31 following the representations from various professional associations, including chartered accountant bodies, highlighting certain difficulties being faced by taxpayers and practitioners in timely completion of audit reports. The representatives cited various reasons including disruptions caused by floods and natural calamities in certain parts of the country, the CBDT said.

The Income Tax Appellate Tribunal (ITAT) has rejected the income-tax department’s bid to treat Netflix India as a full-fledged content and technology service provider, and deleted a Rs 444.93-crore transfer pricing adjustment for 2021–22, in a major relief for multinational digital platforms.

The Mumbai bench of the tribunal held that Netflix Entertainment Services India LLP (Netflix India) operates merely as a limited-risk distributor of access to the Netflix streaming service, with no ownership of intellectual property (IP) or control over content or technology.

Selling joint property? Be careful of the income tax implications, TDS deductions, and how it needs to show up in your income tax returns. Each beneficiary has to keep an eye on tax implications, calculations of capital gains and TDS when filing their income tax return. Any mismatch could lead to an income tax notice seeking explanation.
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One such case where an income tax notice issued a father-son duo jointly selling their ancestral land for Rs 13 crore. The purchaser erroneously deducted the entire TDS amount of Rs 13 lakh solely under the father's name, instead of splitting it equally between both parties at Rs 6.5 lakh each. The son properly declared his Rs 6.5 crore share in his income tax return and settled the required taxes without taking any TDS credit.

The father submitted his income tax return belatedly under Section 139(4) of the Income Tax Act, 1961 on December 28, 2022 for AY 2022-23, declaring a total income of Rs. 2.76 crore (2,76,47,210).

In AY 2022-23, the jointly-owned ancestral land was sold for Rs 13 crore (13,00,00,000), with each party receiving Rs 6.5 crore (Rs 6,50,00,000). The purchaser withheld the complete TDS under Section 194A at 1%, totalling Rs 13,00,000, exclusively under the father's name.

The Central Board of Direct Taxes (CBDT) has signed 174 Advance Pricing Agreements (APAs) during 2024-25, the highest in any year, indicating the progress in ease of doing business by providing certainty to multinationals regarding transfer pricing.

The service sector has been the top beneficiary as around 60% of total APAs signed during 2024-25 pertain to the sector alone, according to the 7th APA Annual Report released by the CBDT.
The spurt in bilateral APAs is the result of a special drive by the CBDT, sources said.


Bilateral APA aims to prevent double taxation and provide tax certainty in both the jurisdictions of treaty partners. Notably, bilateral APAs were losing popularity in the last few years due to the huge time involved in negotiation among treaty partners.

However, a significant boost in Bilateral APAs during the last 3 years indicates that the speed of negotiation among treaty partners has increased significantly. This trend will encourage other taxpayers also to come forward and opt for APA in order to avoid long drawn litigation, said Amit Maheshwari, Tax Partner, AKM Global.

The Income Tax (I-T) Department has introduced a new feature on its website which shows the exact date and time when the Assessing Officer (AO) or Commissioner of Income Tax (Appeals) [CIT(A)] has viewed or reviewed your tax notice submission in faceless proceedings.

The new feature ensures taxpayers know when their response has been accessed by the tax authority.

Bimal Jain, Founder, A2Z Taxcorp LLP, says that the new feature gives confirmation and assurance that the submission has actually been seen by the Income Tax officer. “It removes uncertainty, helps monitor progress, and prevents allegations of non-consideration or delay in proceedings,” says Bimal.

Mihir Tanna, Associate Director, Direct Tax, SK Patodia & Associates LLP Chartered Accountants, is yet to see the new feature on the I-T Department's portal.

The Gujarat High Court has ordered CBDT to extend the deadline for filing Income Tax returns (ITR) for audit cases. The court has directed CBDT to extend the due date to November 30, 2025. The deadline for audit cases is October 31, 2025. If Central Board of Direct Taxes (CBDT) accepts the order and doesn’t appeal against it in the Supreme Court, it will need to issue a notification for the same. Here are the key takeaways from the Gujarat High Court’s order-

What does Gujarat High Court order say?

The Court directed the CBDT to:
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“Issue a circular under Section 119 of the Income Tax Act to extend the due date for filing returns under Section 139(1) up to 30 November 2025 for assessees required to file audit reports.”

Net direct tax collections grew 6.33% to Rs 11.89 lakh crore so far in AY 2025-26 as against Rs 11.18 lakh crore in the same period a year ago, mainly due to a sharp dip in income tax refunds, according to the latest data released by the Central Board of Direct Taxes (CBDT).

Total direct tax refunds issued by the government as on October 12, 2025 stood at Rs 2.03 lakh crore in AY 2025-26. In the corresponding period a year ago, the tax department had issued tax refunds to the tune of Rs 2.41 lakh crore, data showed. The tax department has been using data analytics, artificial intelligence and various other measures to combat false tax refund claims.

Corporate tax refunds rise over 16% year-on-year
Interestingly, corporate tax refunds jumped over 16% year-on-year to Rs 1.40 lakh crore from Rs 1.20 lakh crore. However, non-corporate tax or personal income tax refunds saw a massive 48% drop to Rs 62,359 crore from Rs 1.21 lakh crore a year ago.

India’s net direct tax revenue climbed 6.33 per cent to over Rs 11.89 lakh crore in the current fiscal year (till October 12), driven by stronger corporate tax collections and slower refund payouts, according to data released by the Income Tax Department.

The total gross direct tax collection stood at Rs 13.92 lakh crore, up from Rs 13.60 lakh crore during the same period last year. Refunds issued declined to Rs 2.03 lakh crore, a fall of nearly 16% compared to Rs 2.41 lakh crore in FY 2024-25.

Within the net collection, corporate tax receipts increased to Rs 5.02 lakh crore from Rs 4.91 lakh crore, while non-corporate tax collections (including individuals and HUFs) rose to Rs 6.56 lakh crore from Rs 5.94 lakh crore.

The Black Money Act, one of India's sternest laws, is being reviewed.

An internal committee, under a senior Income Tax (I-T) officer, will examine the interplay between the statute and the I-T Act, envisage different scenarios of taxability and their legal implications, points of conflict with I-T regulations, challenges faced in invoking the law, and the handling of the mountain of data received from various countries.

The Central Board of Direct Taxes (CBDT) has decided to extend the specified date for filing various audit reports for the Previous Year 2024–25 (Assessment Year 2025–26), from September 30, 2025 to October 31, 2025, for assessees referred to in clause (a) of Explanation 2 to sub-section (1) of section 139 of the Income Tax Act, 1961.
Income Tax Audit due date extended for AY 2025-26
In a press release dated September 25, 2025, CBDT said:
CBDT extends specified date for filing of various reports of audit for the Assessment Year 2025-26
The 'specified date' of furnishing of the report of audit under any provision of the Income-tax Act, 1961, for the Previous Year 2024-25 (Assessment Year 2025-26), in the case of assessees referred to in clause (a) of Explanation 2 to sub-section (1) of section 139 of the Act, is 30th September, 2025.
The Board has received representations from various professional associations, including Chartered Accountant bodies, highlighting certain difficulties being faced by taxpayers and practitioners in timely completion of audit report. The reasons cited in these representations include disruptions caused by floods and natural calamities in certain parts of the country, which have impeded normal business and professional activity. This matter has also come up before High Courts.

Tax Audit Report Filing 2025-26: Two High Courts in the country – the Karnataka High Court and the Rajasthan High Court – have directed the Central Board of Direct Taxes (CBDT) to extend the deadline for filing Tax Audit Reports (TAR) under Section 44AB of the Income Tax Act, 1961, by one month. Tax audit reports can now be filed until 31 October 2025.

The Karnataka High Court order came on the basis of a writ petition filed by the Karnataka State Chartered Accountants Association (KSCAA), seeking an extension of the tax audit deadline.

Earlier, the Rajasthan High Court’s Jodhpur Division Bench noted that the CBDT has granted such exemptions in previous years. This interim order came on a petition filed by the Jodhpur Tax Bar Association. Similar petitions are also being heard in other high courts across the country.

On September 19, 2025, the Central Board of Direct Taxes (CBDT) via Circular No. 13 /2025 gave relief to taxpayers from paying interest on tax demand notices related to the Section 87A tax rebate for special rate incomes like Short Term Capital Gains (STCG) on equities. However, the same circular states that taxpayers who received such a tax demand notice must pay by December 31, 2025 so as to become eligible for the waiver of interest.

Additionally, the circular mentions that if the ITR was processed and Section 87A tax rebate was granted on such special rate incomes (like STCG), rectifications have to be done disallowing such 87A tax rebate claims since they were mistakenly approved. Consequently, that circular said that tax demand notices will be issued, and interest under Section 220(2) will be applied to these tax demands.

S. Vasudevan, Executive Partner at Lakshmikumaran & Sridharan attorneys, says: “The CBDT in its recent circular (13 of 2025) has stated that rectifications have to be carried out by Central Processing Center (CPC) to disallow Section 87A tax rebate which was allowed to the taxpayers against income chargeable to tax at special rates. Considering this recent Circular issued by CBDT, it is likely that taxpayers will receive a demand notice with respect to rebate allowed under section 87A.”

The deadline for filing the income tax return (ITR) by taxpayers under the no-audit category for AY 2025-26 ended on September 16, 2025. According to the latest data updated as of 22 September, around 7.58 crore returns have been filed, and 6.86 crore have been verified. However, only 5.01 crore ITRs have been processed so far, which means around 1.86 crore returns are still pending for refund processing.

Meanwhile, taxpayers awaiting their refunds are taking to social media to complain about long delays in refunds. There are frequent complaints from netizens who have not received their refunds even after more than 3 months.

One user wrote on social media platform ‘X’, stating that he filed his ITR on 20th June and still awaiting his refunds.

Another user says he filed return for AY 2025-26 on 10th June and verified it on the same day but the ITR is yet to be processed.

The Income Tax Department has enabled online filing of ITR-5 and ITR-7 forms for Assessment Year (AY) 2025–26. Both forms are now available on the official e-filing portal with pre-filled data to make the process easier for taxpayers.

Unlike ITR-1 or ITR-2 which are meant for individuals, these two forms are for specific categories of taxpayers. If you are confused about whether you need to file ITR-5 or ITR-7, here is a simple guide.

WHO NEEDS TO FILE ITR-5?
The ITR-5 form is not for individuals, Hindu Undivided Families (HUFs) or companies.

It is primarily used by firms, LLPs, Association of Persons (AOP), Body of Individuals (BOI), artificial juridical persons, cooperative societies, and local authorities that are not required to file ITR-7.

WHO SHOULD FILE ITR-7?
The ITR-7 form is designed for entities such as charitable and religious trusts, political parties, research associations, news agencies, universities, colleges, and other institutions specified in the Income Tax Act.

It has to be filed by anyone who is required to submit returns under sections 139(4A), 139(4B), 139(4C), or 139(4D).

The government has so far seen strong direct tax collections in the ongoing financial year. From the beginning of the financial year 2025-26 (FY26) to September 17, net direct tax collections rose by 9.18% to Rs 10.82 lakh crore. This rise in collections is primarily due to a growth in advance tax collected from companies and the slower pace of refund issuance.

Tax refunds drop by 24% over the same period last year
Between April 1 and September 17, 2025, the government issued income tax refunds of only Rs 1.61 lakh crore. This is a 24% drop from last year’s Rs 2.1 lakh crore.

Reacting to the lower refunds this year, many people on social media are asking questions about their ITR refund status and are concerned about income tax refund delays.

Corporate tax collections strong, individuals also paid more
Tax collections from companies remained steady. Corporate advance tax collections rose 6.11% to Rs 3.52 lakh crore. Net corporate tax collections stood at Rs 4.72 lakh crore as compared to Rs 4.50 lakh crore last year.

The ITR filing deadline (for non-audit cases) for Assessment Year 2025-26 has recently ended. Now, most taxpayers are curious about their income tax refund status. Some want to know when their income tax refund will be credited, while others are worried why their ITR status on e-filing portal is still showing ‘under process’ despite being filed 45 days to 60 days ago. The ITR filing deadline this year was extended twice and finally ended on September 16.

In this story, we’ve brought you the top 10 income tax refund FAQs 2025, which explain your most common doubts in simple language.

Q1. How long does it take for an income tax refund to be credited to your account after filing your ITR?
After you file and verify your ITR, the process starts immediately as everything is automated now. If your ITR has everything in order — such as income details, TDS claims, and bank details — you can expect your tax refund typically credited within 30 to 45 days. However, some taxpayers may experience income tax refund delays, especially if verification or scrutiny is required. In contrast, some taxpayers have received their refunds within a few hours.

With the September 16 deadline for filing Income Tax Returns (ITRs) over, millions of taxpayers are eagerly awaiting their refunds. Many are wondering if the Income Tax Department delays processing refunds if the refund amount is large, such as over Rs 50,000.

According to income tax rules, there is no upper limit on refunds. Whether your refund is Rs 10,000 or Rs 1 lakh or even greater, it will be credited the same way. However, refunds involving larger amounts may require additional scrutiny by the department, which may result in a slight delay in processing, experts are of the view.

Benefits for early income tax return filers
Taxpayers who filed their ITR much ahead of the deadline, i.e., weeks before the due date, found their e-verification completed within a few hours, and in many cases, the ITR was processed and refunds issued the same day.

However, for those who filed their returns on the last day or the day before, i.e. 15th or 16th September, the story was a little different. The e-filing portal was overloaded at that time, resulting in e-verification taking 24 to 48 hours and slow processing.

Net direct tax revenue has risen by 9.18 per cent to over Rs 10.82 lakh crore in FY 26 till September 17, as refunds witnessed a steep decline of 23.87%, according to data released by the government on Thursday. Gross tax collection rose by 3.39% during this period.

This included Rs 4.72 lakh crore of corporate tax, Rs 5.83 crore of non-corporate tax, Rs 26 thousand crore of Securities Transaction Tax, and Rs 291 crore classified as other taxes.

As per data released by the Income Tax Department, the total gross tax collection amounted to Rs 12.43 lakh crore, while refunds stood at Rs 1.60 lakh crore.

Advance tax collection for this period grew by 2.90%, standing at Rs 4.48 lakh crore, out of which corporate tax amounted to Rs 3.52 lakh crore (+6.11%) and non-corporate tax amounted to Rs 96.7 thousand crore (-7.30%).

With the ITR filing deadline of September 15, 2025, set to end in a few hours, many taxpayers and tax professional associations have been reporting difficulties in filing income tax returns (ITRs) due to glitches on the Income Tax e-filing portal (Incometax.gov.in). Users have been complaining since morning today (September 15, 2025) that the website is either taking too long to get loaded, freezing midway, or failing to process returns.

The errors taxpayers and chartered accountants (CAs) have been facing could be due to the rush of taxpayers who have been trying to login at the same time to beat the ITR filing deadline. Such a huge rush has caused the server to face overload issues. The server is unable to handle so many requests from taxpayers at the same time.

Even as taxpayers have been facing ITR filing-related issues due to the Income Tax website glitches, the Income Tax (I-T) Department has suggested some quick browser-related fixes to improve the ITR filing experience.

ITR filing FY 2024-25 due date extended: Amid a record surge in Income Tax Return (ITR) filings, the government has extended the deadline for Assessment Year 2025-26 by a day, pushing it to September 16, 2025.
The move came, even as the number of filed returns crossed 7.3 crore by 15 September, the highest ever. However, many taxpayers reported income tax portal access issues as the cutoff approached.

Why was ITR filing deadline extended?

The due date for Assessment Year 2025-26 had originally been 31 July 2025, but was shifted to 15 September because revisions in ITR forms required back-end changes in April-May.
With the 15 September cut-off approaching, many taxpayers reported difficulty accessing the e-filing portal and completing payments.