Big news for India’s tax ecosystem: A new draft from the Income Tax Department reimagines form numbering to slash complexity and supercharge efficiency. Tied to the upcoming Income Tax Act 2025 effective April 1, it eases burdens on filers, advisors, and entities navigating dense regulations.
Decades-old numbers, patched repeatedly, had become a maze prompting errors and repeats. Fresh templates and numbering foster digital harmony, real-time reconciliations, and agile compliance. Organizations face a race to adapt IT setups before the switch.
Highlighted shifts bundle essentials: Tax audits consolidate into one Form 26 (bye 3CA/3CB/3CD). Pricing audits to Form 48 (ex-3CEB); MAT—15% levy on book profits for low-tax firms—to Form 66 from 29B. Global forms update: Residency Form 42 (10FA out), DTAA Form 41 (10F gone).
TDS forms evolve: Lower rate pleas in Form 128, salary certs Form 130. TDS quarterlys: 138/140/144 replace 24Q/26Q/27Q; TCS Form 143 (27EQ). Annuals: 26AS→168, SFT 61A→165. Forex: Remittance Form 145 (15CA), CA Form 146 (15CB).
The consensus among specialists? A smoother ITR journey with precise math, consistency, and comprehension. This proactive reform underscores a commitment to accessible, future-proof taxation.