The Income-tax Act, 2025, is set to bring a major overhaul to India's compliance system, with numerous commonly used tax forms undergoing replacement, renaming, or consolidation from April 1, 2026. This comprehensive reform aims to simplify the tax reporting framework and enhance transparency.
New PAN Application Forms Introduced
The government has replaced the existing PAN application forms, Form 49A and Form 49AA, with four distinct new forms based on the applicant's category:
- Form 93: For Indian individuals.
- Form 94: For Indian companies and entities.
- Form 95: For foreign individuals.
- Form 96: For foreign entities and overseas organizations.
Form 16 and 16A See Replacements
- Form 16 becomes Form 130: This crucial document for salaried employees, serving as the annual salary TDS certificate, will now be known as Form 130. It will continue to detail salary particulars, claimed deductions, and tax deducted and deposited.
- Form 16A becomes Form 131: For non-salary income such as interest, commission, brokerage, rent, and professional fees, taxpayers will receive Form 131 instead of Form 16A, enabling them to claim TDS credit during tax return filings.
Quarterly TDS Return Forms Renamed
The forms used for quarterly TDS filings have also been updated:
- Form 24Q (for salary TDS returns) is now Form 138.
- Form 26Q (for resident non-salary TDS) is now Form 140.
- Form 27Q (for non-resident TDS payments) is now Form 144.
Nil TDS Declaration Forms Merged
To streamline the process for taxpayers seeking to avoid TDS deduction when their estimated tax liability is nil, the previously separate Form 15G and Form 15H have been merged into a single, simplified document: Form 121.
Changes to Foreign Remittance Reporting
Forms related to foreign remittances have also been updated:
- Form 15CA (for foreign remittance declarations) is replaced by Form 145.
- Form 15CB (accountant certificate for taxable foreign remittances above Rs 5 lakh) is replaced by Form 146.
Form 26AS Replaced by Form 168
A significant change involves the replacement of Form 26AS with the new Form 168. This new Annual Tax Information Statement will offer a more comprehensive compliance overview, incorporating details on TDS/TCS, advance tax payments, self-assessment tax, refunds, demand notices, specified financial transactions (SFTs), and compliance history.
Lower TDS Application Form Updated
Taxpayers applying for certificates for lower or nil TDS/TCS deduction will now use Form 128, which replaces the earlier Form 13.
Unified Form 141 for Specified Transactions
The government has introduced a consolidated Form 141, which replaces multiple forms including Form 26QB, Form 26QC, Form 26QD, and Form 26QE. This unified form aims to simplify TDS reporting and payment for specified transactions through dedicated schedules, eliminating the need for several standalone forms.
These extensive changes under the New Income Tax Act, 2025, reflect the government's commitment to modernizing India's tax reporting framework, improving transparency, and simplifying compliance for all stakeholders.