New Tax Regime Opt-In: Form 10-IEA Clarification

This query is : Resolved

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A taxpayer using the old tax regime for freelance and other income is seeking clarification on switching to the new tax regime for FY24-25. They filed Form 10-IEA last year to opt for the old regime and want to know if they need to file it again to opt into the new regime for ITR4/3, or if it will be the default. The discussion confirms that Form 10IEA is used to opt out of the old regime permanently, with a deadline of 31st July.

RAJG

RAJG (Querist)
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26 June 2025 I have some business income - freelance (presumptive tax) plus other income. Till now (FY-23-24), I had filed tax in old regime in ITR4 or 3.

Last year (FY-23-24) as default was new tax regime, I filled 10-IEA to opt for Old tax regime for filling my returns.

This year (FY-24-25) and moving forward wanted to use new tax regime with ITR4 / 3 (with Business income).

So do I need to file 10-IEA to "opt in" for new tax regime this year (FY-24/25) for ITR4 /3 or will it be automatically default to new tax regime.

Kindly clarify.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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26 June 2025 You need to file Form 10IEA before 31.07.2025 to opt out of old regime (permanently).

Nikhil Kaushik

Nikhil Kaushik (Expert)
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26 June 2025 wont the due date be 15 September now?

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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27 June 2025 Practically, form 10 IE were not accepted (while processing of ITRs) in AY 2021-22 even though the due date of filing was extended first till 31-12-2021 & again to 15-03-2022. May be software issue!!

Nikhil Kaushik

Nikhil Kaushik (Expert)
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27 June 2025 thats the power of department - what you cannot do by act and rules, do it via software!

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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27 June 2025 True, but same rule applies for ITR U, if form filed before 31st July in relevant year it is considered; not otherwise.

RAJG

RAJG (Querist)
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28 June 2025 Thanks for clarification!

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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28 June 2025 You are welcome.