New ITR Forms Under Income Tax Act 2025 to Be Released Before FY28: Govt

The government has said that the new Income Tax Return (ITR) forms, designed under the Income Tax Act, 2025, will be released before FY 2027-28. These forms are expected to make tax filing much easier for individuals by reducing difficult legal language and simplifying the structure.

Forms Revised for the New Tax Law

The Income Tax Act, 2025, which replaces the old 1961 law, was passed on August 21 and will take effect from April 1, 2026. As part of this change, all related forms such as ITR forms and TDS quarterly returns, are being redesigned.

The Central Board of Direct Taxes (CBDT) has formed a committee that is consulting tax experts, industry bodies, and officers from the Income Tax Department to ensure the new forms are user-friendly.

ITR Forms for FY26 Will Continue Under Old Rules

Minister of State for Finance Pankaj Chaudhary said that the first set of ITRs under the new Act will apply to income earned in FY 2026-27. These forms will be updated based on changes announced in Budget 2026, and they will be notified before FY 2027-28.

For income earned in FY26, taxpayers will still use forms under the Income Tax Act, 1961.

Simpler and More Efficient Filing Expected

The government aims to make the filing process smoother by reducing complexity and legal jargon. The simplified forms will also help in faster processing of returns since the information provided will be more standardised and clear.

The new forms will give taxpayers enough time to understand the requirements before the new law comes into effect.

Read More, Income Tax Act 2025: What are the Refund Rules?

Conclusion

The introduction of new ITR forms under the Income Tax Act, 2025, marks a major step toward a simpler and more transparent tax system. With clearer language and easier formats, taxpayers can expect a smoother filing experience and fewer errors, improving compliance and efficiency for both citizens and the Income Tax Department.

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