The Central Board of Direct Taxes (CBDT) will launch only a part of the required forms when the Income-tax Act, 2025 comes into force on April 1.
Out of the 190 forms needed under the new law, only 54 forms are expected to be ready by the deadline.
This update was shared by the Department of Revenue with the Parliamentary Standing Committee on Finance.
Officials said that the most important and time-sensitive forms will be ready and functional by April 1.
The remaining forms will be introduced later in phases after further changes and improvements.
Finance Panel Pushes for Early Tax Rules
The committee, led by Bhartruhari Mahtab, has asked the government to quickly release the Income-tax Rules, 2026 along with all related forms.
According to the panel, releasing these rules early will give taxpayers and tax professionals enough time to understand the new system and prepare for the changes.
The new Income-tax Act aims to simplify tax laws, reduce complexity, and introduce modern digital processes.
However, the committee stressed that simplifying the law alone is not enough.
The systems and infrastructure needed to support the new rules must also be fully ready.
Major Digital Upgrade Planned
The government is also working on a large technology upgrade to support the new tax system.
Around Rs 1,200 crore has been allocated for IT and digital projects in FY 2026–27.
This investment will help build a unified data system to manage tax information more efficiently.
The committee also pointed out that there were technical issues on the income-tax e-filing portal in September 2025.
Because of this, it recommended thorough testing of all tax-related systems before the new law is implemented.
These systems include the e-filing portal, the Income Tax Business Application (ITBA), and Insight 2.0.
Stress and load testing should be done well in advance to avoid disruptions when large numbers of taxpayers start filing returns.
Focus on Data Integration and Public Awareness
Another key concern raised by the committee is the smooth integration of old tax records with the new system.
Strong legacy data integration will be necessary to handle the large number of new tax returns without technical problems.
The panel also asked the government to complete training programs for tax department officers on time so that they are fully prepared to implement the new law.
To help taxpayers understand the changes, the government has set aside Rs 27 crore for awareness campaigns in FY 2026–27.
These campaigns will include multimedia content and outreach programs both online and offline.
The committee recommended launching these awareness programs quickly so that taxpayers can learn about the new system, avoid mistakes during the transition, and better understand the faceless assessment process.
It also advised authorities to actively listen to feedback from taxpayers and tax professionals and make quick improvements if any issues arise during the rollout of the new tax law.
