Page Contents
From AY 2024-25, the new tax regime under Section 115BAC is the default tax regime for Individuals, HUFs, AOPs (excluding co-operative societies), BOIs, and Artificial Juridical Persons. However, taxpayers can opt out of the new regime and choose the old regime.
It depends on your income composition and deductions. Use the Income Tax Calculator on the Income Tax Portal to compare.
Yes. If no intimation is given, employer assumes default new regime and deducts TDS accordingly.
But note: Intimating the employer is not equivalent to opting out. You must still choose the regime in your ITR or file Form 10-IEA (if applicable).
No, HRA exemption u/s 10(13A) is not allowed in the new tax regime.
Yes, from AY 2024-25, standard deduction is available in both regimes.
Generally, No, except:
No, such interest deduction is not allowed in the new regime.
No, the new regime is default from AY 2024-25. You must submit Form 10-IEA again to opt out.
No, once Form 10-IEA is filed, it cannot be revoked for that AY. You can re-enter the new regime next year only via new Form 10-IEA.
The tax department’s backend integration means that all old-regime deductions (80C, 80D, HRA, housing/education/EV loans, etc.) will now be digitally verified against third-party data. Taxpayers must maintain accurate, detailed proofs and ensure all entries match official records to avoid scrutiny or mismatch notices. An integrated backend system will automatically verify claims during ITR filing, mapped with your PAN and Aadhaar. Data will be cross-verified from
Insurance companies
Banks
Vahan (mParivahan) app
Employers and government platforms
No more one-time lump-sum entries (e.g., ₹1.5 lakh under Section 80C).
Must provide break-up of investments (PPF, ELSS, LIC, etc.).
Automated verifications and instant error flagging.
Immediate intimations will be sent for mismatched entries.
Employer details
Rent paid proof
Landlord’s PAN (if rent > ₹1 lakh/year)
Policy number
Insurer name
Investment date
Bank name
Loan account number
Sanction date
Balance as on 31 March
Vehicle registration number
Loan details
Verified via mParivahan app
New GST Advisory 2026: E-Invoicing Introduced for RCM Self-Invoices The GST Network, based on the recommendations of the GST Council… Read More
One Deadline Relaxed, Another Tightened: Four Key IBBI Circulars Every Insolvency Professional Must Know The Insolvency and Bankruptcy Board of… Read More
Direct Tax Collections FY 2026-27 (as on 14.10.2026) – Detailed Analysis The data compares Direct Tax collections up to 14… Read More
Key Provisions, Jurisdiction, Mediation under Commercial Courts Act 2015 Introduction The Commercial Courts Act, 2015 marked a significant reform in… Read More
GST Council Proposes Major Measures to Simplify Compliance The GST Council has recommended a series of reforms aimed at reducing… Read More
XBRL Applicability under the Companies Act, 2013 – Detailed Explanation XBRL (eXtensible Business Reporting Language) is a globally accepted electronic… Read More