New Delhi, The new income tax returns (ITR) form based on the I-T Act, 2025, will be notified prior to 2027-28 fiscal year, Minister of State for Finance Pankaj Chaudhary said on Monday.
The CBDT committee on simplification of ITR forms is carrying out extensive consultations with tax experts, institutional bodies, and field formations of the I-T Department, he said in a written reply in the Lok Sabha.
The Income Tax Act, 2025, enacted on August 21, will come into effect from next financial year, beginning April 1, 2026.
The new act will replace the existing Income Tax Act, 1961, and make tax laws simple and reduce wordage in the legislation making it easy to understand.
All the different forms applicable under the Income Tax Act, like TDS quarterly return form and ITR forms, are being reworked, and the Directorate of Systems is working with the tax policy division to make the forms taxpayer- friendly.
“ITR forms relating to Income Tax Act, 2025, will require the changes in consequence of amendments to the said Act made during Budget, 2026, and, accordingly, ITRs pertaining to the first tax-year 2026-27 shall be notified prior to FY 2027-28,” Chaudhary said.
With regard to ITR forms for income earned in current fiscal (Assessment Year 2026-27), Chaudhary said consolidation and simplification of the ITR forms are in process as they will be notified as per provisions of Income Tax Act, 1961. PTI
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