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News INCOME TAX

  • Nov 21, 2025
  • ITR filing set to change from next year: What the new income tax return forms mean for you

    The Income Tax Department is gearing up for the new and simplified Income Tax Act, 2025, which will come into effect from April 1 next year. CBDT Chairperson Ravi Agarwal recently said that the department will release newly designed ITR forms and related rules by January 2026. These forms are being designed entirely in accordance with the new tax system, giving taxpayers time to understand the changes and update their systems, according to him.

    Aggarwal stated that the department is working on developing new forms and a compliance framework. During an event at IITF, he said: “We are in the process of designing forms and rules. We are working towards putting this in place by January so that taxpayers have sufficient time to adapt their processes within their systems.”

    The new law and new forms will come into effect on April 1, 2026, replacing the existing Income Tax Act, 1961. This change will have the potential to make tax filing more digital, easier and clearer in the coming years, the government claims.

    New ITR Forms – What will be the major changes?
    These ITR forms, which come with the new law, mark a major shift in the country’s tax system. They have been specifically designed to make filing easier for ordinary taxpayers, salaried individuals, pensioners, and small businesses.