Update for taxpayers: The government will issue a new income tax returns (ITR) form under the Income Tax Act, 2025 ahead of the 2027–28 financial year, Minister of State for Finance Pankaj Chaudhary has said. This signals a formal update to filing documents to reflect the provisions of the new act.
What this means for taxpayers
The fresh ITR form will replace current formats so they match the rules and schedules introduced by the Income Tax Act, 2025. Taxpayers, tax professionals and software providers should expect a transition period as the new form is rolled out and instructions are clarified.
Likely impacts
- Changes in declaration fields: Forms may include revised sections reflecting new definitions, exemptions or tax treatments.
- Updated reporting requirements: Some incomes or deductions could need different disclosure formats.
- Adjustment time for software and advisors: Tax preparation tools and advisors will need updates and guidance before the form goes live.
Timeline and what to watch for
The announcement sets an administrative deadline: the new ITR form will be issued before the start of the 2027–28 financial year. Expect official notifications from the tax department, guidance notes, and sample forms ahead of the filing season.
How to prepare now
- Keep financial records organized and up to date to ease any transition in reporting.
- Follow official circulars from the tax department for technical guidance once released.
- Consult your tax advisor or accounting software provider about planned updates.
- Monitor deadlines and compliance changes so you’re ready when the new form is published.
Bottom line
The planned issuance of a new ITR form before 2027–28 is a predictable step after a major legislative change. Early preparation and attention to official instructions will help taxpayers adapt smoothly when the revised form is released.