Who needs a tax audit under Section 44AB for AY 2026-27?
A tax audit applies if your business turnover exceeds ₹1 crore in FY 2025-26 — or ₹10 crore if cash receipts and cash payments are each 5% or less of the total. For professionals, the threshold is gross receipts above ₹50 lakh. It can also apply below these limits if you declared income under the presumptive scheme (Section 44AD) in an earlier year and report lower profit this year while your total income exceeds the basic exemption limit.
What are the due dates for FY 2025-26 (AY 2026-27)?
The tax audit report — Form 3CD along with Form 3CA or 3CB — is due by 21 October 2026, extended from 30 September 2026. Your ITR for an audit case is due by 21 November 2026, extended from 31 October 2026. CBDT announced both extensions in a press release dated 28 September 2026.
What happens if I miss the tax audit deadline?
A late or missing tax audit report attracts a fee under Section 271B — 0.5% of turnover, capped at ₹1,50,000 — unless you can show reasonable cause. You can still file a belated report and return, but interest and this fee apply.
Do F&O traders need a tax audit?
Not always. It depends on your F&O turnover — the sum of profits and losses across squared-off trades, not total buy/sell value — crossing the threshold, or the presumptive opt-out rule. Share your broker P&L and we'll tell you within minutes.
What's the difference between Form 3CA and Form 3CB?
Form 3CA is used when your accounts are already required to be audited under another law — for example, a company under the Companies Act. Form 3CB is used when they aren't — most proprietorships, individuals, and partnership firms. Both are filed along with Form 3CD, the detailed statement of particulars.
Can a belated or revised tax audit report be filed?
Yes. If you miss 30 September, a belated report can still be filed with a belated return by 31 December 2026, though the Section 271B fee and interest apply. If you already filed but found an error, a revised Form 3CD can be filed before assessment is completed.
What documents do you need from me?
Bank statements, sales and purchase registers or an accounting software export, the prior year's audit report and ITR if any, and — for traders — your broker's P&L and contract notes. Send what you have on WhatsApp and we'll tell you what's missing.
What does the fee include?
CA review of your books, turnover and applicability computation, preparation of Form 3CA/3CB and 3CD with UDIN generation, and upload on the income tax portal. ITR filing for audit cases is available as an add-on or bundle.
