New vs Old Regime: Which is better in AY 24-25?

[Surbhi_Pal]

Hey @robincsamuel,

In the case of individuals with business/professional income, you can only switch the regimes once. As the new regime is made default from FY 23-24 onwards, you will have to file form 10-IEA to opt for the old regime. You will have to file the same form again to opt out of the old regime. Once opted out, you will not be able to opt back in and will have to continue with the new tax regime for the subsequent FYs.

Here’s a detailed read on Form 10-IEA that might help!

Form 10IEA for opting into old regime

In budget 2023, FM Sitharaman declared that the new tax regime will be the default regime from FY23-24 onwards. Until FY 22-23 if you had income from business or profession you had to file form 10IE to opt in/ out of the new tax regime. However, with the default switch to the new regime from FY 2023-24, Form 10-IE was withdrawn. Now, as the new regime is made the default regime, the Income Tax Department (ITD) has introduced procedural changes for business owners and professionals, offering the…

Hope this helps!