ITR Due Date for Audit Cases Extended to 21 November 2026: Who Is Covered and What Still Applies

Quick answer: Yes. Through Circular No. 07/2026 dated 28 September 2026, the Central Board of Direct Taxes (CBDT) extended the due date for filing income tax returns for Assessment Year 2026-27 (FY 2025-26) in audit cases from 31 October 2026 to 21 November 2026. The same circular moved the tax audit report deadline under section 44AB from 30 September to 21 October 2026. The extension covers companies, businesses and professionals whose accounts must be audited, and partners of such firms; due dates for other taxpayers are unchanged.

What the CBDT circular says

The CBDT issued Circular No. 07/2026 (F. No. 225/128/2026/ITA-II) under section 119 of the Income-tax Act, 1961, read with section 536 of the Income-tax Act, 2025. A press release with the same content was issued on the same day. The circular makes two changes for AY 2026-27:

• Return of income for audit cases: due date extended from 31 October 2026 to 21 November 2026.
• Tax audit report (Form 3CA/3CB with 3CD): the "specified date" under section 44AB extended from 30 September 2026 to 21 October 2026.

The audit report deadline has already passed. For most audit cases, the date that matters now is 21 November 2026, which is less than three weeks away. You can read the official circular on the Income Tax Department website.

Who is covered by the 21 November deadline

The circular applies to the persons listed at serial number 2 of the table under Explanation 2 to section 139(1). In practical terms, these are:

• Companies, whether or not they have taxable income.
• Any other person whose accounts are required to be audited under the Income-tax Act or any other law in force, such as a proprietor or professional crossing the section 44AB thresholds, a firm, an LLP or a co-operative society.
• A partner of a firm whose accounts are required to be audited, and the spouse of such a partner where section 5A applies.

Taxpayers who must furnish a transfer pricing report in Form 3CEB under section 92E have a separate due date and should check it independently. Salaried individuals and other non-audit taxpayers do not get any extension from this circular.

Which law applies: the 1961 Act or the 2025 Act?

The Income-tax Act, 2025 came into force on 1 April 2026. However, income earned in FY 2025-26 is still assessed under the Income-tax Act, 1961, so returns for AY 2026-27 are filed under the old Act, using the old section numbers. That is why the circular relies on section 119 of the 1961 Act, read with the repeal and savings provision in section 536 of the 2025 Act. The new Act and its "tax year" terminology will apply to income earned from 1 April 2026 onwards.

What does not change with the extension

Interest under sections 234A, 234B and 234C

The circular does not say anything about interest. Interest under sections 234B and 234C relates to shortfalls in advance tax and is not affected by a later return due date. If you have a balance of self-assessment tax to pay, it is prudent to pay it as early as possible rather than on the last day, so that the interest position is not open to question.

Late fee under section 234F

If a return is filed after 21 November 2026, a late fee of ₹5,000 applies under section 234F. Where total income does not exceed ₹5 lakh, the fee is limited to ₹1,000.

Penalty for not furnishing the tax audit report

Where the audit report was not furnished by 21 October 2026, section 271B allows a penalty of 0.5% of total sales, turnover or gross receipts, up to ₹1,50,000. Under section 273B, no penalty is levied if the taxpayer shows reasonable cause for the failure.

Choosing the old tax regime

An individual or HUF with business or professional income who wants to opt out of the default new tax regime must file Form 10-IEA on or before the due date under section 139(1). For audit cases, that is now 21 November 2026. A return filed after the due date is processed under the new regime.

Carry forward of losses

Business losses, speculation losses and capital losses can be carried forward only if the return is filed by the due date under section 139(1). Loss from house property and unabsorbed depreciation are not subject to this condition.

What happens if you miss 21 November 2026

A belated return can still be filed under section 139(4) up to 31 December 2026, with the section 234F late fee. You would lose the right to carry forward most losses and the option to choose the old regime. After the Finance Act, 2026 amended section 139(5), a return filed on time can be revised up to 31 March 2027, but a fee under section 234-I applies to revisions made after 31 December 2026.

A practical checklist for the next three weeks

• Confirm that the tax audit report was uploaded by the auditor and accepted on the e-filing portal.
• Match TDS and TCS credits with Form 26AS and the Annual Information Statement (AIS) before computing tax payable.
• Pay any self-assessment tax well before filing, and keep the challan details ready.
• Decide on the old or new regime and file Form 10-IEA in time if you are opting out of the new regime.
• For firms and LLPs, file the firm's return first so partners can report their share of profit, interest and remuneration correctly.
• Keep your digital signature certificate valid where the return must be verified using DSC, as is the case for companies.

Our compliance calendar lists the other income tax, TDS and GST dates falling in November and December.

Key points

• CBDT Circular No. 07/2026 is dated 28 September 2026.
• The ITR due date for audit cases for AY 2026-27 is now 21 November 2026, instead of 31 October 2026.
• The tax audit report date was extended to 21 October 2026, which has now passed.
• Transfer pricing cases and non-audit taxpayers are not covered by this circular.
• Late fee, loss carry-forward rules and the Form 10-IEA deadline continue to apply with reference to the extended due date.

Frequently asked questions

Is the ITR due date extended for salaried individuals?

No. Circular No. 07/2026 applies only to audit cases, which include companies, persons whose accounts must be audited and partners of such firms. Non-audit taxpayers keep their original due dates.

Does the extension apply to an LLP or a partnership firm?

Yes, if its accounts are required to be audited under the Income-tax Act or any other law. Partners of such firms are also covered for their individual returns.

Can a company file its return after 21 November 2026?

A company can file a belated return up to 31 December 2026, but it will pay the late fee under section 234F and lose the right to carry forward business and capital losses for that year.

Is the deadline for the transfer pricing report also extended?

The circular does not deal with transfer pricing cases. Taxpayers required to file Form 3CEB under section 92E have a separate due date and should verify it with their tax adviser.

Get your audit-case return filed on time

Finaccle's CA-led team in Surat, Mumbai and Delhi prepares and files income tax returns for companies, LLPs, firms and audited proprietors, and coordinates with your auditor so the return matches the audit report. See our income tax return filing service or contact us to have your AY 2026-27 return reviewed before 21 November 2026.