Form 10IE

2020 budget brought in New Tax system, which offers possibility of paying less in taxes but does not offer some of tax deductions that were offered under Old Tax regime. If taxpayer wants to use New Tax regime, they have to file Form 10IE first, then their Income Tax Return (ITR).
form 10ie income tax is declaration that everyone who chooses to use Form form 10ie income tax should submit, particularly those who make money from their business or occupation. Form 10ie income tax is essential for individuals to declare their investments & expenses for claiming deductions under Income Tax Act. It is crucial to accurately fill out form 10ie income tax to ensure compliance with tax regulations.
 

What Is Form 10IE?

Form 10IE is declaration that everyone who chooses to use Form 10IE should submit, particularly those who make money from their business or occupation. For those filing ITR-3 & ITR-4 rather than ITR-1 & ITR-2, filing Form 10IE is required. Here are some additional Form 10IE details.

Individual taxpayers must utilize Form 10IE, electronic application, to notify Income Tax (IT) Department of their decision to choose New Tax regime in order to be taxed under it.

Details regarding exemptions, deductions, & allowances that taxpayers are qualified for are also included on this form. Before deadline for submitting Income Tax Return (ITR) to IT Department, taxpayers must complete Form 10IE.
 

What Is New Tax Regime?

With large tax savings & major reductions, New Tax regime was adopted. 2023 Budget includes several significant incentives from government that will provide Indian citizens with number of tax breaks. low tax rate that is permitted under New Tax regime but not under Old Tax regime is one of its main features. To streamline process of filing taxes, individuals can now file Form 10IE online, ensuring faster & more efficient submission.

When to Submit Form 10IE?

Following information relates to submitting Form 10IE:

• Income tax returns must be filed before Form 10IE is submitted.
• Upon Filing Form 10IE, 15-digit acknowledgement will be created.

Without 15-digit number, taxpayer cannot process filling out of Income Tax Return (ITR).

How To Fill Out Form 10IE On Income Tax Portal?

 Steps to filing Form 10IE are as follows:

• Go to electronic filing portal & sign in with your login details.
• Under "Income tax forms" that are under "e-File," click "File Income Tax Forms." 
• From list, choose Form 10IE. 
• Click "File Now" to continue.
• Choose assessment year that you are filling out return for. 
• After selecting "Let's Get Started," Form 10IE will appear on screen.
• Four sections of form are as follows:

           a. Assessing Officer 

           b. Basic Data 

           c. Supplemental Data 

           d. Verification

• Click "Confirm" in first are where information is prefilled. 
• Some information is automatically populated in under "Basic Information" section, including:
• Choose "Yes" for revenue kind, whether it be from business or profession. 
• Choose "Nature of business" option. Name, address, & PAN number.
• Click on ‘Save’
• Tick check boxes & terms & conditions option, under ‘Verification’ section
• Check all details under this section & save information
• Click on ‘Preview’ to review Form 10IE details
• Click on ‘Proceed to e-verify' through following methods:

           a. Digital Signature Certificate (DSC)

           b. Electronic Verification Code (EVC)

           c. Aadhaar OTP

• Transaction ID & Acknowledgement Receipt Number will be displayed after successful completion of e-verification
• Confirmation message will be sent to your registered email ID
• Form can also be downloaded from 'View Filed Forms' option that comes under 'Income Tax Forms' section in ‘e-File’ option.

What Is Time Limit For Filing Form 10IE?

Before deadline for submitting ITR, individuals having business income can submit Form 10IE, which is as follows:

Deadline for submitting Form 10IE for individuals & Hindu Undivided Families (HUFs) who are exempt from having their accounts audited is on or before deadline for submitting income tax return (ITR) for applicable assessment year (AY). For instance, deadline for filing ITR for AY 2024–2025 is July 31, 2024. Income Tax Return must be filed before Form 10IE is submitted.
Deadline for submitting Form 10IE for individuals & HUFs that must have their accounts audited is on or before deadline for submitting audit report in accordance with Income Tax Act section 44AB.

What Is Format of Form 10IE?

Form 10IE is used to specify taxpayer’s preference for old/new tax regime. It consists of three parts:
Basic Information: Includes taxpayer’s name, PAN, assessment year, & status. system auto-selects either opting out or re-entering options based on previous filings.
Additional Information: Pertains to IFSC unit details (if applicable).
Declaration & Verification: taxpayer confirms their choice to opt out or re-enter new tax regime.
Remember, this form can be filed twice in lifetime—one for opting out & one for re-entering new tax regime.
By choosing to file Form 10IE online, taxpayers can easily navigate through required sections & submit their forms without hassle of physical paperwork.

How to Download Paper Copy of Form 10IE?

 Steps to download copy of Form 10IE are as follows:

• Go to www.incometaxindia.gov.i, Income Tax Department of India's official website.
• Select "Forms" menu.
• Click link & choose "Form 10IE" 
• Download form.

Conclusion

Filing Form 10IE income tax online streamlines process of tax declaration & tax assessment for individuals. This form is essential for proper taxpayer identification, ensuring that tax exemptions & deductions & allowances are accurately applied. It helps determine tax liabilities based on taxable income, considering taxpayer's filing status & tax residency. By using Form 10IE income tax online, taxpayers can efficiently manage their tax obligations & benefits.