Archive · 18 Nov 2025
Income Tax Department to Simplify Compliance with New Forms, Rules by January
The Income Tax Department is making tax forms and rules simpler for a new, easier tax law called the Income Tax Act, 2025.
These new forms and rules will be ready by January and will be used starting April 1st.
This new law makes tax rules shorter and easier to understand, with fewer sections and chapters than the old law from 1961.
The department is also trying to collect ₹25.20 lakh crore this year and is working on releasing tax refunds that people are waiting for.
Income Tax Department to notify ITR forms and rules under the simplified Income Tax Act, 2025 by January.
New tax law aims to simplify tax compliance, effective April 1, 2026.
Income Tax Act, 2025 reduces sections from 819 to 536 and chapters from 47 to 23.
Department hopeful of meeting ₹25.20 lakh crore direct tax collection target for FY26.
Efforts underway to release remaining tax refunds and encourage taxpayer compliance.
- Who
- Income Tax Department, Central Board of Direct Taxes (CBDT)
- What
- Simplifying tax compliance with new forms and rules under the Income Tax Act, 2025
- When
- By January 2026, effective April 1, 2026
- Where
- India
- Why
- To simplify tax compliance for taxpayers under the new legislation
Taxpayers
Income Tax Department
Refund Delays
Taxpayers
Taxpayers are experiencing delays in receiving refunds.
Income Tax Department
The department is analyzing high-value or red-flagged refund claims and plans to release remaining refunds by December, while low-value refunds are being issued.
Complexity of Tax Laws
Taxpayers
Existing tax laws are complex and difficult to understand.
Income Tax Department
The new Income Tax Act, 2025, aims to simplify tax laws by reducing sections and chapters and using easier language.
- New Tax Act Effective Date
- April 1, 2026
- ITR Forms & Rules Notification Deadline
- January 2026
- New Act Name
- Income Tax Act, 2025
- Sections in New Act
- 536
- Sections in Old Act (1961)
- 819
- Chapters in New Act
- 23
- Chapters in Old Act (1961)
- 47
- Direct Tax Collection Target (FY26)
- ₹25.20 lakh crore
Sources
Hope to achieve ₹25.2 lakh crore direct tax collection target for FY26: CBDT chief
Hope to achieve FY26 income tax collection target: CBDT chief
Tax collections on course, says CBDT chair; refund scrutiny deepens as fraud surges - CNBC TV18
New Income Tax Act 2025: ITR forms, rules to be notified by January 2026 - Telegraph India
India confident of meeting ₹25.2 lakh crore direct tax target: CBDT
Hope to meet FY26 direct tax target: CBDT chief
Wide gap between tax receipts and budget target causes concern
New ITR forms under Income Tax Act 2025 to be notified by January, says CBDT
India's GDP Growth Projected At 7 Per Cent In Q2 FY26: Report
New Income Tax Act: Simplified ITR forms and rules effective from April 1, says CBDT chief
ITR refund status 2025: Delays due to ‘red-flagged’ claims, says CBDT chairman
Confident of achieving ₹25 lakh crore tax target despite modest pace: IT Dept Chief - CNBC TV18
I-T Dept. To Notify ITR Forms, Rules of Simplified I-T Act By Next Year
I-T department engaging with taxpayers for voluntary compliance; hopeful of meeting revenue target: CBDT chief
