CBDT sends tax audit reminders to nearly 12,000 professionals ahead of 21 October deadline: What is SAKSHAM NUDGE?
The Central Board of Direct Taxes (CBDT) has widened its SAKSHAM NUDGE initiative. It now includes tax professionals, such as chartered accountants and other practitioners. Nearly 12,000 professionals have received reminders to complete their pending tax audit reports.
The reminders concern assessment year 2026-27, with the deadline approaching on 21 October. The original deadline was 30 September. Many reports remain pending, a senior government official told Moneycontrol.
The Income Tax Department has sent these reminders through SMS and email. It selected professionals whose filings were below half their previous financial year’s total. The comparison covers tax audit reports in Form 3CD, according to the official.
More than 19.5 lakh tax audit reports have already been filed for assessment year 2026-27. However, the CBDT noticed that a significant number were still awaiting submission. The department has urged professionals to speed up their work before the extended deadline.
SAKSHAM NUDGE earlier focused on taxpayers, encouraging them to meet their tax responsibilities. It also encouraged them to correct possible reporting errors. Its expansion recognises the role of tax professionals in helping taxpayers complete required filings.
A CBDT official has told Business Standard that tax professionals help businesses and other specified taxpayers fulfil their tax audit requirements. The campaign encourages these professionals to submit pending reports before the deadline.
What is SAKSHAM NUDGE?
NUDGE stands for Non-Intrusive Usage of Data to Guide and Enable. The initiative uses data to identify potential gaps in compliance with tax requirements. It sends targeted reminders and guidance to encourage people to act voluntarily.
The department uses automated data analysis to identify possible mismatches across different records. These include GST records, banking information and tax filings. SMS and email alerts encourage correct reporting, error correction and completion of pending filings. This approach avoids immediately turning to court cases or penalties.
What is a tax audit?
A tax audit is an independent review by a chartered accountant. It is conducted under Section 44AB of the Income Tax Act, 1961.
The review checks whether businesses and professionals maintain proper financial records. It also checks whether taxable income is calculated in accordance with tax laws.
Reports are uploaded through the Income Tax Department’s online filing portal. Form 3CA applies when entities are audited under other laws, including the Companies Act.
Form 3CB applies when entities are not audited under other laws. Both require Form 3CD, which records business activities and accounting practices. It also covers allowances and disallowances, serving as a checklist for meeting tax requirements.
