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CMA Final · Direct Tax Laws and International Taxation · Return of Income

Under the Income-tax Act, 2025 (as amended w.e.f. 1 April 2026), Sapna Traders, a proprietary business whose accounts are not required to be audited under the Act or any other law, has business income for tax year 2026-27 and no transfer pricing report is required. What is the due date for furnishing its return of income?

The due date is 31st August of the succeeding financial year. The amended table gives this date to non-audited assessees with business or profession income where section 172 does not apply. The 31st July date is only for other assessees, such as salaried individuals.

  1. A31st July of the succeeding financial year
  2. B31st August of the succeeding financial yearCorrect
  3. C31st October of the succeeding financial year
  4. D30th November of the succeeding financial year

Explanation

Under section 263(1)(c) Table, an assessee having business or professional income whose accounts are not required to be audited, where section 172 does not apply, has 31st August as the due date. 31st July applies to any other assessee, so it is wrong here because the person has business income.

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