Form No 1 of IT Rules 2026: Stock Exchange Monthly Compliance Statement

Form No 1 is a monthly Statement to be furnished by a stock exchange in respect of transactions in which client codes have been modified after registering in the system. This form is filed under Rule 4 of Income-tax Rules, 2026 (Rule 6DDA of Income-tax Rules, 1962).

Old vs New Form

Who Should File?

All stock exchanges are supposed to file this form for the purposes of Section 66(33) of the Income tax Act, 2025 in respect of cash and derivative market transactions.

Filing Method

The form must be filed online on the official income tax e-filing portal.

Frequency of the Form

This form is to be filed monthly. 

Brief Note on Broad or Qualitative Changes Proposed

The format of the form has been designed in smart form format as far as the details of the stock exchanges are concerned. (The basic details regarding Name, PAN and Address etc.). The details related to Form 3BC (viz. commodity derivative name has been added along with scrip name in the Scrip Name column of Derivative Market Table. This has been done in view of the entities which were earlier filing Form 3BC are now supposed to file Form 3BB.

Form 3BC has been rendered redundant in view of abolition of Forward Market Commission (in 2015). Accordingly, the entities which were earlier covered under the provisions of Rule 6DDC of Income-tax Rules, 1962 are covered under Rule 6DDA itself and are already filing Form 3BC which is apparent from the data of Form filing details.

No other changes have been proposed in the fields being captured in the tables under “Cash Market” and “Derivative Market”. 

FAQs

1. What is Form No. 1?

Ans: This form is a monthly Statement to be furnished by a stock exchange in respect of transactions in which client codes have been modified after registering in the system.

2: Who should file Form No. 1?

Ans: It has to be filed by a stock exchange within the meaning of section 2(92) of IT Act, 2025.

3: Is Form No. 1 mandatory?

Ans: Yes. It has to be filed by stock exchange in respect of transactions (for both cash and derivative markets) in which client codes have been modified after registering in the system.

4: What is the time limit for filing Form No. 1?

Ans: Form No. 1 must be filed within 15 days from the last day of each month to which such statement relates.

5: How many times can Form No. 1be filed in a year?

Ans: Form No. 1is event-based and has to be filed monthly in respect of transactions in which client codes have been modified after registering in the system.

6: Can I edit Form No. 1 after submission?

Ans: No. Once Form No. 1 is submitted and acknowledgment is generated, it cannot be edited. Ensure all details are correct before submission.

7: What if I do not have a PAN?

Ans: Form No. 1 cannot be submitted without a valid PAN.

8: Can Form No. 1 be filed offline?

Ans: No. Form No. 1 can only be submitted online through the Income Tax e-Filing portal.