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ITR filing: Will tax department extend July 31 deadline!

  • Taxpayers face issues with e-filing portal
  • Grievances flood social media
  • Concern over July 31 deadline extension

Many taxpayers are having serious issues with the e-filing system as the deadline of July 31 to file income tax returns draws near.

This year, the frequency of problems with the portal has led to a rise in complaints on social media.

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In an effort to draw attention to the challenges professionals and taxpayers encounter when utilising the ITR portal for electronic filing, a number of chartered accountant associations have also taken action to communicate with the tax department.

What are the tax glitches?

Taxpayers have brought up a number of issues, such as disparities between TIS and AIS data and difficulties obtaining Form 26AS/AIS/TIS because of site glitches.

Despite timely warnings from taxpayers, both joint account holders’ statements show shared income, which results in scrutiny notices.

Furthermore, the AIS/TIS interface only provides a small number of answer possibilities, which might not always adequately represent certain circumstances. Many taxpayers express frustration over modifications to their TIS responses not showing up right away.

The inability of taxpayers to finish form submissions is being impeded by persistent buffering and other technical problems.

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There are instances where pre-filled data in the ITR, such as salary, interest income, and TDS figures, do not match the data in Form 26AS.

Taxpayers with business income face difficulties with the correct reflection of dividend income in Schedule OS, as the current utility requires the income to be first reflected in business income and then reduced, complicating the process.

Error messages frequently appear while taxpayers attempt to file their returns, leading to delays in successful submission.

There have also been instances where the One Time Password (OTP) required for authentication is not received promptly, or at all, causing failed attempts to verify and submit returns. Additionally, some taxpayers are unable to download acknowledgments of filed ITRs, which are essential for validating their compliance.

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Will tax department extend July 31 deadline?

The Income Tax department has not given any official statement on whether the deadline to file ITR will be extended.

However, there is growing speculation and concern about whether the deadline might be extended to accommodate those facing difficulties due to the e-filing glitches.

Despite these significant challenges, many taxpayers have already initiated the filing process for ITRs.

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As of July 14, 2024, over 2.7 crore ITRs have been filed, marking a 13% increase compared to the same period last year. The number of ITRs filed per day surpassed 13 lakhs on July 13 and continues to rise as the deadline nears.

The milestone of filing 1 crore ITRs for AY 2024-25 was reached on June 23, 2024, and the 2 crore milestone was achieved on July 7, 2024, both earlier than last year.

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