New ITR forms under Income Tax Act 2025 after Budget 2026 changes. Know when you will need them

In a written reply to a query in the Lok Sabha on Monday, December 8, 2025, the Union Minister of State for Finance, Pankaj Chaudhary, said, "...ITR forms relating to Income-tax Act, 2025 will require the changes in consequence of amendments to the said Act made during Budget, 2026, and, accordingly, ITRs pertaining to the first tax-year 2026-27 shall be notified prior to FY 2027-28."

What about ITR forms for FY 2025-26 (AY 2026-27)?

For the current financial year, i.e., FY 2025-26 (AY 2026-27), ITR forms will be released based on the Income Tax Act, 1961.

"In the context of Income-tax Return (ITR) forms, consolidation and simplification of the ITR forms, which is required to be made effective for the Assessment Year 2026-27, are in process as they will be notified as per provisions of Income-tax Act, 1961," the minister said.

The Income Tax Act, 2025, will be effective from April 1, 2026. The new Act will also end the use of the terms previous year and assessment years, replacing them with tax year.

Takeaways for taxpayers

• For income earned in the current financial year (FY 2025-26), you will file ITR as per the forms to be notified later under the Income Tax Act 1961.

• For income earned in FY 2026-27, you will file ITR as per the forms to be notified under the Income Tax Act, 2025. And these forms will be notified before April 1, 2027.

• 2026-27 will be the first Tax Year under the Income Tax Act 2025, starting from April 1 2026 and ending on March 31, 2027.

Chaudhary also said that the Income Tax Act, 2025 was enacted on 21 August 2025 to replace the existing Income Tax Act, 1961. The Income Tax Act, 2025 is slated to be effective from Tax Year 2026-27. "Further, in consequence of the enactment of the said Act, notification of the consequent Rules and Forms are in the process of being notified."

Simplified ITRs

According to the minister, a committee formulated by the CBDT on simplification of Income Tax Returns is carrying out extensive consultations with tax experts, institutional bodies, and field formations of the Income-tax Department.

"The committee is in the process of formulating the ITR Forms, outcome thereof, will be reflected later in the notified forms," he said.