The Gujarat High Court has once again come down heavily on the Income Tax Department for its persistent failure to make ITR forms and e-filing utilities available on the 1st of April each assessment year. In an order dated 7th April 2026 in SCA No. 16428 of 2025, a Division Bench comprising Justice A.S. Supehia and Justice Pranav Trivedi directed the respondents to file an affidavit suggesting measures to resolve the issues — failing which the Court warned it would "take a serious view in the matter."

Background — The 2015 Direction That Was Never Followed

This isn't the first time the issue has come before the Gujarat High Court. Way back in September 2015, the Court had passed a landmark order in Special Civil Application No. 15075 of 2015, categorically directing the Income Tax Department to ensure that all forms and utilities for e-filing of income tax returns are ordinarily made available on the 1st day of April of the relevant assessment year.

That was 11 years ago. And according to the petitioner — the Chartered Accountants Association of Surat (CAAS) — the Department has consistently failed to comply with this direction year after year. The forms arrive late, the utilities are buggy, and professionals are left scrambling to meet deadlines with half-baked tools.

What the Petitioner Argued

The CAAS, represented by Advocate Avinash Poddar, raised what the Court described as "very serious issues" relating to:

  • The functioning of the Income Tax Department and its repeated non-compliance with court directions
  • The hurdles faced by professionals and taxpayers due to late availability of forms and utilities
  • The lack of proper technical monitoring of the income tax e-filing portal

The petitioner also pointed out that there are various other orders passed by the Gujarat HC which the Department is simply not following. This paints a troubling picture of institutional non-compliance.

What the Court Ordered

The Division Bench took the submissions seriously and passed the following directions:

  1. Affidavit required — The respondents (Union of India, CBDT, and the Income Tax Department) must file an affidavit before the next hearing suggesting concrete measures to resolve the issues raised in the petition.
  2. Serious consequences warning — If the affidavit is not filed, the Court will "take a serious view in the matter" — language that often precedes contempt proceedings.
  3. Next hearing on 27th April 2026 — The matter has been listed at the top of the Board, indicating the Court's priority treatment of this case.

Why This Matters for Every Tax Professional

Every CA, tax practitioner and taxpayer in India knows the annual frustration. The financial year ends on 31st March, and ideally you should be able to start filing returns from 1st April. But the ITR forms — sometimes even the basic schemas and validation rules — are not released until weeks or months later. This creates a compressed filing season, rushed compliance, and avoidable errors.

The CAAS petition essentially argues that this is not just an administrative inconvenience — it is a violation of a court order. And the fact that the Department has ignored a specific judicial direction for over a decade raises serious questions about accountability.

Portal Issues Are Not New

The reference to "lack of proper technical monitoring of the portal" is particularly relevant. The income tax e-filing portal has been plagued with issues since its revamp in 2021 under Infosys. From login failures to slow processing, OTP issues to utility crashes — professionals have repeatedly flagged these problems through professional bodies, social media and parliamentary questions. This petition brings these technical grievances into the judicial arena.

What Happens Next

The next hearing is scheduled for 27th April 2026. If the Department fails to file a satisfactory affidavit with concrete measures, the Court may consider stronger remedial action. Given the language of the order and the priority listing, it is clear that the Bench is not inclined to let this matter slide.

Tax professionals and associations across the country will be watching this case closely. A strong order from the Gujarat HC could set a precedent for timely release of ITR forms and better portal management going forward.

Case Details: Chartered Accountants Association, Surat (CAAS) & Ors. v. Union of India & Ors. — R/Special Civil Application No. 16428 of 2025, Gujarat High Court, Order dated 07.04.2026.