Synopsis : Form 10-IEA is now mandatory for taxpayers with business or professional income who wish to remain under the old tax regime. With the new regime set as default from FY 2024–25, missing this filing could mean an irreversible shift.
A significant change in India’s personal income tax filing rules has come into effect for FY 2024–25, and it directly impacts individuals and Hindu Undivided Families (HUFs) with business or professional income. The new tax regime is now the default option, and those who want to continue with the old tax regime must file Form 10-IEA—a new compliance form introduced by the Central Board of Direct Taxes (CBDT).
Form 10-IEA replaces the earlier Form 10-IE and applies especially to those filing Income Tax Returns under ITR-3 or ITR-4. According to tax professionals, this form is not optional—it is mandatory if you wish to reject the default new regime and stay with the old one. More importantly, this decision can be made only once in a lifetime, unless the taxpayer fully discontinues their business or professional activity.
The last date to submit Form 10-IEA is 15th September 2025, and any failure to do so will result in the taxpayer being automatically enrolled into the new tax regime. Once the form is filed and verified, the choice becomes binding for future assessment years. It requires basic details such as PAN, assessment year, status of business income, IFSC unit information (if applicable), and a declaration confirming the intent to opt out.
Salaried taxpayers, however, who do not earn from business or profession are not required to file this form. They can simply select the old regime option while filing their income tax return, and their preference will be recognized without the need for additional steps.
Taxpayers must submit Form 10-IEA through the Income Tax Department’s online portal. Upon completion and e-verification using Aadhaar OTP, Digital Signature Certificate, or Electronic Verification Code, they will receive a Transaction ID and Acknowledgement Number. This number must be quoted while filing the ITR to ensure the tax regime selection is accepted.
This procedural shift is seen as part of the government’s push to simplify and promote the new tax regime, but for those who find the old structure more beneficial—especially in terms of deductions and exemptions—Form 10-IEA is now their only official route.
Disclaimer : This article is intended for informational purposes only and should not be construed as legal or financial advice. Always consult a certified tax advisor before making any tax-related decisions.
