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LatestAccounting And Audit 6 October 2026

Tax Audit Extension, New Limits, and GST Council Moves

The Income Tax Department has extended the tax audit deadline by 21 days, altering relief eligibility based on cash receipt thresholds. New audit limits now rise to Rs 10 crore for certain entities, while forms 3CA, 3CB, and 3CD are detailed for AY 2026‑27. Meanwhile, the GST Council is set to debate removing arrest powers, and the tax office has clarified when it can issue cash‑transaction notices, outlining reporting thresholds and penalties.

*The tax landscape in India sees several key updates:*
- Tax audit deadline extended by 21 days; relief applies only to entities below the Rs 1 crore cash receipt limit, with higher thresholds for larger cash flows. Details: CAclubindia article
- Audit limits increased to Rs 10 crore for taxpayers with cash receipts and payments exceeding previous caps. See the same source for specifics.
- Forms 3CA, 3CB, 3CD for Assessment Year 2026‑27 are explained, highlighting that audit decisions cannot rely solely on the ₹1 crore, ₹10 crore, or ₹50 lakh thresholds. Full guide: The Tax Corp guide
- GST Council meeting on 7 Oct 2026 will consider scrapping arrest powers, signaling a shift in indirect tax enforcement. More info: GST Council news
- Income tax notice for cash transactions outlines when the department can question large cash dealings, including SFT/AIS thresholds, penalties, and TDS rules. Read: Cash transaction notice

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Tax Audit Extension, New Limits, and GST Council Moves | Legal Suvidha