As the income tax filing season for Assessment Year 2025-26 picks up pace, it’s crucial for taxpayers to understand a significant requirement—especially those opting for the old tax regime. If you're planning to switch from the new default tax regime to the old one, you may be required to submit Form 10-IEA — and missing this step could cost you the exemptions and deductions you're entitled to under the old tax system.
In the Union Budget 2023, the Central Government made the new tax regime the default for all taxpayers. This means, unless you specifically opt out, your income tax return (ITR) will be processed under the new tax regime by default. If you prefer the benefits of the old tax regime, which includes multiple exemptions and deductions such as HRA, LTA, and Section 80C benefits, you must formally declare your intent using Form 10-IEA.
Filing this form is mandatory for a specific group of taxpayers:
Hindu Undivided Families (HUFs)
Associations of Persons (AOPs)
Bodies of Individuals (BOIs)
Artificial Juridical Persons
Condition: If your income comes from a business or profession, submitting Form 10-IEA is essential. You must file it before the due date of your income tax return; otherwise, the system will automatically consider you under the new tax regime, disqualifying you from old regime benefits.
If you're a salaried employee or a pensioner and your income does not include any business or professional earnings, you're in luck. You can simply select the old tax regime option while filing your ITR and proceed without needing to submit Form 10-IEA.
However, it’s still important to make the selection carefully while filing, as your tax benefits hinge on choosing the right regime.
While filling out Form 10-IEA, the following information must be provided:
Full name of the taxpayer or entity
Relevant Assessment Year (in this case, 2025-26)
Declaration to opt for the old tax regime instead of the new default regime
Disclosure of any unit in an International Financial Services Centre (IFSC)
If you do have an IFSC unit, detailed information about that unit must also be submitted in the form.
Failing to submit Form 10-IEA before the due date of filing your ITR can lead to significant losses:
You will automatically be taxed under the new regime
You will not be able to claim deductions and exemptions available in the old regime for the entire financial year
For business or professional taxpayers, this form is not optional — it's a mandatory step to secure the benefits of the old regime.
The form can be filed online through the Income Tax Department’s official e-filing portal. Taxpayers must log in using their credentials, navigate to the relevant section under the “Income Tax Forms,” and select Form 10-IEA. After entering the required details, the form must be submitted electronically with verification.
With income tax filing deadlines approaching, it’s essential for taxpayers—especially those running businesses or professions—to act swiftly. Form 10-IEA is a key requirement for those who wish to switch back to the old tax regime, and missing it could impact your tax planning significantly.
Stay informed, review your tax regime options carefully, and don’t miss crucial steps like Form 10-IEA submission. Filing the right form at the right time can help you maximize savings and avoid tax-related hassles later.
