The Income Tax Department has introduced important changes for FY 2025-26. Here is what salaried individuals, freelancers, and business owners need to know before filing their returns.
What's New in ITR for FY 2025-26?
The Income Tax Department has updated ITR forms and introduced several changes for Assessment Year 2026-27. Whether you are a salaried employee, a freelancer, or a business owner, understanding these changes can help you file accurately and avoid notices.
Key Changes
1. Updated ITR Forms: ITR-1 and ITR-4 have been revised to include new disclosure requirements for high-value transactions and foreign travel.
2. New Tax Regime is Now Default: If you do not explicitly choose the old regime, the new tax regime applies automatically. Make sure you opt for the correct regime based on your deductions.
3. Reporting of Crypto Assets: Any income from virtual digital assets (cryptocurrency, NFTs) must be reported separately at a flat 30% tax rate.
Who Should File ITR?
You are required to file an ITR if your income exceeds ₹2.5 lakh (old regime) or ₹3 lakh (new regime), or if you have foreign assets, high-value transactions, or TDS deducted.
Early filing ensures faster refunds and avoids a last-minute rush. The due date for individuals is typically July 31.
Need Help Filing?
Adv. Shashi Kant Dubey provides accurate, appointment-based ITR filing services in Prayagraj. Contact us on WhatsApp or book an appointment to get started.