CBDT Extends TDS Certificate Issuance Deadline for Q3 FY2025-26 Amidst E-Filing Portal Glitches

The Central Board of Direct Taxes (CBDT) has announced a significant extension for the issuance of Tax Deducted at Source (TDS) certificates for the third quarter of the financial year 2025-26 (Q3 FY2025-26), which concluded on December 31, 2025. The new deadline for issuing these crucial documents has been set as March 31, 2026.

This extension comes in response to numerous representations received by the Board regarding persistent technical glitches on the income tax e-filing portal. Deductors, including employers and banks, have faced considerable difficulties in generating and issuing TDS certificates (such as Form 16A) within the originally prescribed timeframe.

Reason for the Extension: Technical Glitches on E-Filing Portal

Normally, TDS certificates are required to be issued within 15 days of filing quarterly TDS returns. However, the technical issues on the e-filing portal prevented many deductors from meeting this deadline for Q3 FY2025-26.

“Representations have been received by the Central Board of Direct Taxes regarding delay in issuance of TDS certificates for the quarter ending 31st December, 2025, due to technical glitches on the e-filing portal. On account of such glitches, deductors have faced difficulties in generating and issuing the certificates within the prescribed time.”

The CBDT, exercising its powers under Section 119 of the Income-tax Act, 1961, issued Circular No. 02/2026 dated March 26, 2026, to grant this extension.

Impact on Deductors and Taxpayers

This extension provides much-needed relief to deductors, allowing them additional time to comply with the regulations without incurring penalties. It also ensures that taxpayers receive accurate TDS details, which are essential for filing their income tax returns correctly and assessing any additional tax liability or claiming refunds.

A TDS certificate contains vital information such as the name and TAN of the deductor, the amount deducted, and the rate of tax deducted. This document enables taxpayers, including salaried individuals, pensioners, and bank FD holders, to verify the tax deducted from their income and utilize it for tax credit claims.

Legal Framework

The issuance of TDS certificates is mandated under Section 203 of the Income-tax Act, 1961, with the specific time limits prescribed under Rule 31 of the Income-tax Rules, 1962. Any TDS certificate issued within this extended period up to March 31, 2026, will be considered as having been issued within the prescribed time.

Source Correspondent

Tax News Correspondent

Source Correspondent is a research contributor specializing in TDS.