Tax Audit Under Section 44AB for AY 2026-27: Working to the Statutory Date While Extension Requests Are Pending

This article sets out the tax audit position for FY 2025-26 (AY 2026-27), explains why requests for more time under Section 44AB recur each year, and suggests how a practice should plan its work when no extension has been notified.

It matters now because the audit report date falls before the return date for audited assessees, several related forms run on different dates, and a pending representation to the CBDT gives no entitlement to relief.

Where your client stands: the basic audit position

Business and profession thresholds

Under Section 44AB, a tax audit is required where business turnover or gross receipts exceed Rs 1 crore. The limit is Rs 10 crore where the prescribed cash receipt and cash payment conditions are met. For a profession, audit applies where gross receipts exceed Rs 50 lakh under Section 44AB(b).

The presumptive scheme in Section 44ADA has an enhanced eligibility threshold of Rs 75 lakh where the cash-receipt condition is met. Before concluding that a professional client needs an audit, check how that scheme interacts with the assessee's receipts and conduct.

Dates for AY 2026-27

• The tax audit report (Form 3CA or 3CB, with Form 3CD) is due 30 September 2026 where the return is due on 31 October 2026. The specified date in Section 44AB is broadly one month before the return due date under Section 139(1).
• Non-audit return dates for AY 2026-27 include 31 July 2026 and 31 August 2026. The audited-return date is 31 October 2026.
• In transfer-pricing cases (Section 92E, Form 3CEB), where the return is due on 30 November 2026, the report date is 31 October 2026, as clarified by the Department.