The Gauhati High Court has heard the petition seeking extension of due date of tax Audit Report under the Income Tax Act where the Court directed the Central Board of Direct Taxes (CBDT) to submit their version.
It was argued on behalf of the tax Bar Association by advocates D Saikia and Ms. M L Gope that the frequent changes in the utility and schema and various amendments made in Form 3CD after 01.04.2018 have made it practically difficult for the accountants to file the tax audit report within 31.10.2018. Further there are penalty and even prosecution in respect of a Chartered Accountant for filing false tax audit report. Further, interest provisions have also not been waived for the extended period.
On behalf of the department, it was argued that the TAR can still be filed by payment of penalty of Rs. 5,000 and there is no absolute bar.
The Court after hearing both sides has issued notice in the case and asked the respondents including CBDT to file its reply in the matter.
The matter shall now be taken up for hearing after the filing of reply by the respondents.
Last day, the Kerala High Court also adjourned a similar mater to next week for filing counter- affidavit from the department.
