New Delhi: The Income Tax Department has invited suggestions and feedback from stakeholders on the draft rules and forms under the new Income Tax Act, 2025. The department said the new law will come into force from April 1, replacing the existing Income Tax Act of 1961.
To ensure transparency and wider participation, the draft Income Tax Rules, 2026, along with related forms, have been uploaded on the official website of the department before their final notification.
What Is the Purpose of Seeking Feedback?
According to the Income Tax Department, the consultation process is aimed at making the tax system simpler, clearer and more taxpayer-friendly. The Central Board of Direct Taxes (CBDT) has asked stakeholders to share inputs in four key areas:
- Simplification of language
- Reduction of litigation
- Reduction of compliance burden
- Identification of redundant or outdated rules and forms
The department said all suggestions will be reviewed carefully before finalising the rules.
How Can Stakeholders Submit Suggestions?
To make the process easy, the department has launched a special online utility on the income tax e-filing portal. Stakeholders can access it through a dedicated link available on the portal.
The facility has been live since February 4, 2026, and is open to all stakeholders. To submit suggestions, users need to enter their name and mobile number, followed by OTP-based verification.
Important Instructions for Submissions
The department has clarified that suggestions must clearly mention the relevant provision of the proposed Income Tax Rules or the specific form number. Inputs should also fall under one of the four categories identified by the CBDT.
This structured approach will help officials examine and process feedback more effectively.
Major Reduction in Rules and Forms
One of the biggest highlights of the proposed changes is the sharp reduction in the number of rules and forms. Currently, the Income Tax Rules, 1962, contain 511 rules and 399 forms.
Under the draft Income Tax Rules, 2026, this number has been cut down to 333 rules and 190 forms. The reduction has been achieved by removing duplication and merging similar provisions wherever possible.
New Income Tax Act from April 1
The new and simplified Income Tax Act, 2025, will replace the more than 60-year-old law from April 1. The government believes the updated law and rules will make tax compliance easier for individuals and businesses alike.
