ITR Deadline Extension: CA Groups Demand Relief as Filing Chaos Hits Peak Across India

As the Income Tax Return (ITR) filing deadline for 2025 approaches, chaos has gripped taxpayers across India.

ITR Deadline Extension 2025: CA Groups

Chartered Accountant (CA) groups and professional associations are now urging the government to extend the deadline, pointing to enormous technical challenges, server crashes, and the overwhelming surge of last-minute filings.

Every year, taxpayers raise concerns about difficulties in filing on time, but the 2025 season has been particularly problematic, pushing both individuals and businesses to the brink.

Mounting Pressure on Taxpayers

With only days left before the statutory deadline, millions of salaried employees, professionals, and business owners are struggling to upload their ITRs on the official income tax e-filing portal.

Despite repeated assurances of system upgrades, users have continued to report login failures, OTP delays, and error messages during key submission stages.

For those who depend on professionals to manage their returns, deadlines have become even tighter. Chartered Accountants caution that the backlog is massive, with many handling hundreds of clients simultaneously.

According to several CA groups, the current pace of filing cannot match the demand, making it unreasonable to expect timely compliance without an extension.

Why CA Groups are Pushing for Extension

Tax practitioners have addressed multiple letters and memorandums to the Central Board of Direct Taxes (CBDT) and the Ministry of Finance. Their central demand is a short extension that will ease anxiety among taxpayers and prevent penalties for late filing.

The reasons cited include:

• Persistent portal glitches: Even upgraded systems cannot handle peak traffic near deadlines.

e-filing

• Documentation delays: Many taxpayers, especially those with multiple income sources, require time to collate proofs.

• Professional workload: CAs face extreme scheduling pressures during the final week.

• Global comparisons: Other major economies frequently allow deadline flexibilities, making India’s rigid framework seem less taxpayer-friendly.

These arguments underline not merely professional inconvenience but also the need for a more supportive compliance environment.

The Risks of Non-Extension

Failure to extend the deadline has several implications. Taxpayers who miss the deadline face late filing fees under Section 234F of the Income Tax Act. Depending on income levels, penalties may range from ₹1,000 to ₹5,000. Those with outstanding tax liabilities may suffer additional interest burdens, further complicating compliance.

Moreover, a mass last-minute rush risks overwhelming not just the portal but also banking systems, as direct tax payments flow through online channels. CA groups have warned that the situation could lead to errors, mismatches, and disputes later during the assessment process.

Past Trends in ITR Deadline Extensions

Historically, the government has provided extensions in exceptional circumstances such as COVID-19 disruptions or when systemic bottlenecks were severe. In 2021 and 2022, multiple extensions were granted to accommodate taxpayers. However

in recent years, the Ministry of Finance has adopted a stricter stance, emphasizing the importance of discipline and timely compliance.

Still, observers believe that the overwhelming volume of 2025 filings and growing social media pressure could push policymakers to act. Campaigns have already gained momentum on platforms like X (Twitter) with hashtags demanding relief.

Taxpayer Stories Illustrating the Crunch

• A freelance designer in Bengaluru reported being unable to log into the portal for three consecutive days despite multiple attempts.

• A Mumbai-based CA mentioned working late nights, yet still dealing with server crashes delaying submissions.

• Small business owners in Tier-2 cities say that document delays combined with technical errors leave them completely dependent on accountants, compounding stress.

These accounts highlight the human side of the compliance challenge, moving the issue beyond statistics and into real-world struggles.

Possible Government Response

At present, the CBDT has not announced an extension.

But sources indicate that the government is closely monitoring submission volumes and daily user reports. Officials remain cautious, balancing the need for taxpayer convenience against the larger goal of ensuring timely revenue inflow for public expenditure.

There is also the question of precedent—granting an extension too frequently could encourage last-minute filing culture.

However, without relief, taxpayer dissatisfaction could escalate, impacting public trust in the government’s digital platforms.

Solutions and the Road Ahead

The recurring ITR season chaos underscores broader systemic challenges. Experts suggest multiple solutions:

• Phased filing windows: Taxpayers could be allocated staggered dates based on PAN or region.

• Portal upgrades: Continuous investments in infrastructure to manage simultaneous logins.

• Simpler compliance: Streamlined forms and pre-filled data to minimize manual effort.

• Awareness campaigns: Encouraging earlier filing through communication strategies.

If acted upon, these measures could transform ITR compliance from an annual bottleneck into a smoother, more predictable exercise.

Final Thoughts

The current frenzy around the ITR filing deadline signals deep inefficiencies in India’s tax compliance ecosystem. CA groups demanding an extension reflect not just professional lobbying but genuine systemic hardship experienced by millions of taxpayers.

Whether or not the government responds with relief, the call for reform remains louder than ever.