ITR Filing 2025: All income tax return forms notified, know what are the important changes
ITR Filing 2025: CBDT has released all ITR forms for assessment year 2025–26. Some changes have provided relief to taxpayers, while some have increased the strictness. Read this news for complete details.
ITR Filing 2025: The Central Board of Direct Taxes (CBDT) has notified all income tax return (ITR) forms for assessment year 2025–26 (FY 2024–25). There has been no major change in the structure of the forms, but several important amendments have been incorporated keeping in mind the provisions of the Finance Act 2024.
The most prominent of these changes are relief on small long term capital gains (LTCG), increased limit for reporting of assets and liabilities, and more detailed reporting of capital gains.
ITR-1 (Sahaj): LTCG relief for small investors
ITR-1 will continue to be applicable for resident individuals with income up to ₹50 lakh from salary, one house and other sources. Under the new system, taxpayers will now be able to report LTCG (under section 112A) up to ₹1.25 lakh in ITR-1.
ITR-2: Detailed reporting of capital gains mandatory
ITR-2 is for individuals who have multiple properties, foreign assets or capital gains. In the updated form:
LTCG before and after 23 July 2024 will have to be reported separately.
Unlisted bonds/debentures will have to be shown separately as per the holding period.
Proceeds from buyback (after 1 October 2024) will have to be shown at “zero value” in the “Income from other sources” and capital gains section.
Now the asset and liability reporting limit has been increased to ₹1 crore (earlier ₹50 lakh).
ITR-3: Monitoring costly transactions
ITR-3 is for individuals and HUFs who earn from business or profession. It has now been made mandatory to choose the old or new tax regime (Form 10-IE or 10-IEA). Detailed disclosures related to business such as profit, loss and foreign income will have to be given. Also, high value transactions will now have to be reported clearly. Such as:
Cash deposits above ₹1 crore
Foreign travel above ₹2 lakh
Electricity expenses above ₹1 lakh
Credit card bills above ₹10 lakh
ITR-4 (Sugam): Relief in LTCG for presumptive taxpayers
ITR-4 is for those who pay tax on presumptive income. This form now allows taxpayers to report LTCG (Section 112A) up to ₹1.25 lakh. This form is applicable for individuals, HUFs and non-LLP firms.
ITR-5: Verification process
Taxpayers who have not e-verified their ITR can still print the ITR-V form, sign it and send it by speed post to the CPC office in Bengaluru within 30 days. E-verification can also be done through Aadhaar OTP, net banking or valid demat/bank account.
ITR-6: New rule on buyback loss
ITR-6, notified on May 6, 2025, is for companies that do not claim exemptions. Some important changes have also been made in it:
Separate reporting of capital gains before and after July 23, 2024 has been made mandatory.
Buyback losses will be valid only if the related dividend income is declared after October 1, 2024.
Separate reporting arrangements have been added for cruise operators (section 44BBC) and profits related to diamond business (at least 4% of gross receipts).
Detailed information of TDS code and Schedule BP has now been made mandatory.
ITR-7: Tighter disclosures for trusts and entities
The ITR-7, notified on May 9, is for entities filing tax returns under sections 139(4A) to 139(4D), such as charitable trusts, political parties and research institutions. Changes in the form include:
Capital gains will have to be reported separately for pre- and post-July 23.
Losses from buybacks will have to be clubbed with dividend income.
Reporting of interest exemption on housing loans (Section 24(b)) will also now be mandatory.
Disclosure of TDS section codes has been added for better tax audit.
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