India’s tax system is getting a major upgrade.
The new Income Tax Act, 2025, which comes into effect from April 1, 2026, brings several changes aimed at making tax filing easier and reducing confusion for taxpayers.
One of the biggest changes is the replacement of old forms with new ones. So if you’re used to filing taxes every year, you’ll need to get familiar with the updated form numbers before your next return.
Old vs New: Key Form Changes Explained
Many commonly used forms now have new names and numbers.
Here are some important updates you should know:
For Salaried Individuals
Form 16 ➝ Form 130 (salary TDS certificate)
Form 16A ➝ Form 131 (non-salary TDS certificate)
Form 10E ➝ Form 39 (relief on salary arrears)
Foreign Transactions
Form 15G / 15H ➝ Form 121
Form 15CA ➝ Form 145
Form 15CB ➝ Form 146
TDS Returns (Quarterly)
Form 24Q ➝ Form 138 (salary TDS)
Form 26Q ➝ Form 140 (non-salary TDS)
Form 27Q ➝ Form 144 (non-resident payments)
Lower or Nil TDS
Form 13 ➝ Form 128
Tax Statements
Form 26AS ➝ Form 168 (now aligned with AIS/TIS system)
These updates are designed to streamline reporting and make the system more structured.
What’s Changing in Tax Deductions?
Another key change is in deductions.
The popular Section 80C is now being renamed as Section 123.
However, there’s good news — the benefit remains the same.
You can still claim deductions of up to Rs 1.5 lakh by investing in eligible instruments.
Some of the common options include:
Public Provident Fund (PPF)
Life insurance premiums
National Savings Certificate (NSC)
Equity Linked Savings Scheme (ELSS)
Sukanya Samriddhi Yojana
Tax-saving fixed deposits (5-year)
Pension schemes
Tuition fees and home loan principal repayment
What This Means for You
While the form names have changed, the purpose of most forms remains the same.
The idea is to simplify compliance and bring more clarity to the tax system.
If you’re filing taxes in 2026, make sure you refer to the updated forms.
A little awareness now can save you from confusion later and make your tax filing process smooth and hassle-free.
