This discussion addresses a taxpayer's confusion regarding income tax regime changes and the requirement to file Form 10IEA. The taxpayer initially opted for the old regime, then switched to the new regime for a year with only salary income. When returning to a mix of salary and business income, they continued with the new regime but faced a query from the income tax department for not resubmitting Form 10IEA. The advice suggests attempting to file Form 10IEA for the current year to withdraw from the old regime, or if that's not possible, providing a detailed explanation of the regime transition history to the department.
24 September 2026
Dear Experts I had salary and business income in FY 2023-24, so I filed ITR4 and submitted form 10IEA for opting old regime . In FY 2024-25, I had only salary income. So I opted new regime without submitting form 10IEA. In FY 2025-26, I had salary and business income again. So I filed ITR4 continuing new regime as I opted it last year. But income tax department now seeking a clarification for not submitting form 10IEA again this year. They are saying that this year income will be treated as per old regime since business income is there. I am hopefully looking for your kind advice about how to respond to this query.
24 September 2026
The department flagged the return because opting out of the Old Regime back into the default New Regime for business income legally requires submitting Form 10-IEA under the "Withdrawal" option. To resolve this, check if the e-filing portal allows you to submit Form 10-IEA for FY 2025-26 choosing to withdraw the Old Regime option, then submit the form's acknowledgement number in response to the notice; if portal filing is restricted, submit a detailed clarification explaining the transition history across FY 2023-24 to FY 2025-26, or adjust the filing under the Old Regime if mandatory.
24 September 2026
Thanks a lot Sir for your time. Portal not allowing me to file form 10IEA for FY 2025-26 and treatment of income under old regime will cost me too much.
24 September 2026
Thanks a lot Sir for your time. Portal not allowing me to file form 10IEA for FY 2025-26 and treatment of income under old regime will cost me too much.