Form 10IE is a statutory form that taxpayers must file to opt for the new tax regime before FY 2023-24, when the old tax regime was the default regime. It is filled out by individuals and HUFs with income from business or profession. Salaried individuals who fill out ITR 1 and ITR 2 are not required to fill out Form 10IE. However, Budget 2023 amended the tax provisions and made the new tax regime the default one from FY 2023-24 onwards. Therefore, Form 10IE has been discontinued from FY 2023-24. If taxpayers want to shift from the new regime(default) to the old regime, they must file Form 10IEA.
The new tax regime allows for lower tax rates while most of the deductions and tax benefits allowed in the old tax regime are not allowed.
Click here to check the income tax slab applicable to you as per the new and old tax regime.
The choice between old vs new tax regime must be made and submitted in Form 10IE before filing the income tax return.
Form 10IE has to be filed BEFORE filing your income tax return. After submitting Form 10IE, a 15-digit acknowledgement number will be generated. Taxpayers cannot proceed with their ITR filing under the new tax regime without mentioning this 15-digit acknowledgement number.
Individuals with business income can file Form 10IE before the due date of filing ITR, i.e. as follows:
Follow these steps for filing Form 10IE online:
Step 1: Login on the e-filing portal
Step 2: On the dashboard, click ‘e-File’ > ‘Income tax forms’ > ‘File Income Tax Forms’
Step 3: Scroll down to select Form 10-IE. Alternatively, enter Form 10-IE in the search box. Click on ‘File now’ button to proceed.
Step 4: Select the Assessment Year for which you are filing the return. For eg: If you are filing taxes for the income earned in FY 2022-23, then select AY 2023-24.
Step 5: On clicking 'Let's Get Started', Form 10-IE will be displayed. Form 10-IE has 4 sections:
(a) Assessing Officer
(b) Basic Information
(c) Additional Information
(d) Verification
First section is ‘Assessing Officer’. The details in this section are pre-filled. You only have to ‘confirm’ these details.
Step 6: Basic Information
Under Basic Information section, all your basic information like Name, PAN, Address are auto-filled. You will be required to provide the following information:
Step 7: Additional Information
Step 8: Verification
Verification section contains self-declaration where you will be required to check the boxes and agree to the terms and conditions. Verify whether all the details are correct and save the information. Once done, click on ‘Preview’ to review Form 10IE.
Step 9: After reviewing all the information, ‘Proceed’ to e-verify'. You can e-verify either through:
Step 10: After successful e-Verification, a success message is displayed along with a Transaction ID and an Acknowledgement Receipt Number. Please keep a note of the Transaction ID and Acknowledgement number for future reference. You will also receive a confirmation message on your email ID registered with the e-Filing portal. You can also download the form and locate the acknowledgment number.
To download the filed form, go to ‘e-File’ → 'Income Tax Forms' → 'View Filed Forms'.
Step 11: After submitting the form, you may proceed with filing your return. On ClearTax, go to the 'Tax Summary' tab and add the required details under ‘Form 10-IE’ section as shown below.
Basic details required to file Form 10IE are mentioned below:
Individuals having ‘Income from Business or Profession’ | Individuals having income ‘other than business or profession income’ |
Individuals with business income will not be eligible to choose between the two regimes every year. Once they select new tax regime, they have only once in a lifetime option for switching back to the old regime. Once they switch back to the old regime, they won’t be able to choose a new regime anytime in future. | An individual with salaried income and no business income can switch between the new and old tax regimes every year. |
Hence, people with business income probably will have to file Form 10IE twice in lifetime – - once to choose the new tax regime and - the second time for switching back to the old regime. | Salaried individuals are not required to file Form 10IE. They can simply opt for new regime through the ITR forms. |
Click here to download Form 10IE
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