Taxpayers preparing for the FY 2024-25 filing season should be aware of significant updates in the Income Tax Return (ITR) process. While all seven ITR forms for Assessment Year (AY) 2025-26 have been officially notified, the corresponding e-filing utilities are not yet available, causing delays in the filing process.

E-Filing Utilities Pending Despite Form Notifications

As of May 20, 2025, the Central Board of Direct Taxes (CBDT) has notified all ITR forms, from ITR-1 to ITR-7. However, the e-filing portal has not been updated with the necessary utilities to facilitate online filing. This delay raises concerns about meeting the standard filing deadline of July 31, 2025, especially for non-audit cases. Taxpayers are advised to monitor the official e-filing portal (https://www.incometax.gov.in) for updates.

Key Changes in ITR Forms for AY 2025-26

Several notable changes have been introduced in the ITR forms for this assessment year:

• Expanded Eligibility for ITR-1 and ITR-4: Individuals with long-term capital gains (LTCG) up to ₹1.25 lakh from equity shares or mutual funds can now use these simplified forms.
• Mandatory TDS Section Disclosure: Taxpayers must specify the Tax Deducted at Source (TDS) section under which tax was deducted, applicable to ITR forms 1, 2, 3, and 5.
• Revised Capital Gains Tax Rates: For transactions on or after July 23, 2024, short-term capital gains (STCG) under section 111A are taxed at 20%, and LTCG under sections 112 and 112A at 12.5% without indexation.
• Increased Asset Reporting Threshold: The threshold for reporting assets and liabilities has been raised from ₹50 lakh to ₹1 crore.
• Buyback Proceeds as Deemed Dividends: Amounts received from share buybacks by domestic listed companies after October 1, 2024, are considered deemed dividends and must be reported accordingly.

Implications for Taxpayers and Filing Deadlines

The delay in releasing e-filing utilities means taxpayers cannot currently file their returns, even if they have all necessary information. This situation may impact the ability to meet the standard filing deadline. While no official extension has been announced, taxpayers should prepare their documents and stay informed about updates to avoid last-minute issues.

For detailed information on choosing the appropriate ITR form, refer to the official guidelines provided by the Income Tax Department.