Hey @tarun,
No there is no clarification on the same. As of now, as per the Income Tax Act, you can only opt-in and out of the new regime once if you have business/profession income.
@Surbhi_Pal @Shrutika_Shah: In continuation from my above query,
Form 10-IEA was introduced.
Rule 21 AGA section was also added:
Revised 115BAC section:
Does not this mean that the new regime will be the one applicable for everyone, even if they opted in/out of it earlier(making it redundant), unless they fill out form 10-IEA to again opt out?
Also can checkout https://blog.saginfotech.com/wp-content/uploads/2023/06/notification-43-2023.pdf for further info.
Thanks for your time!
Hello @tarun
Yes, in our opinion all the returns will be processed as per the new tax regime from AY 2024-25 onwards.
Form 10IEA has to be filed on or before the due date (July 31st for non audit case) in case you want to opt for the old tax regime.
Also, in case you do not have any income from Business & Profession, you can simply select the regime you want to opt for in the Income Tax return and no need to file Form 10IEA.
Hope, this helps.
Hi @AkashJhaveri,
Thanks for your reply, I really appreciate it.
Yes, in our opinion all the returns will be processed as per the new tax regime from AY 2024-25 onwards.
This is irrespective of whatever regime was chosen in earlier Assessment years right? In our case, we have business income, we used the new regime u/s 115 BAC for AY 2021-22 (by filling up form 10IE), and opted out of the new regime for AY 2022-23 and AY 2023-24 by filling up the form 10IE again.
Thanks in advance!
Hi @tarun
Yes, you will be able to re-enter the regime once irrespective of whatever regime you had opted in / opted out in the previous years.
If I summarize you need to file Form 10 IEA in case you want to opt in / opt out from the old regime for AY 2024-25 if you have Business Income. In case you do not file any form, ITR will be processed as per the New Tax Regime.