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ITR filing 2025: How often can taxpayers switch between new and old income tax regimes?

In India, taxpayers can switch between old and new income tax regimes annually, but business income earners have limited options. The new regime is now the default as per Budget 2023, with choices nee

The article from Livemint discusses the flexibility taxpayers have in choosing between the new and old income tax regimes in India for the fiscal year 2025. It explains that while the new tax regime, introduced in Budget 2020, is set as the default, taxpayers can opt for the old regime if it benefits them more due to its various exemptions and deductions. The article highlights that individuals can switch between these regimes annually, providing the opportunity to evaluate which regime is more advantageous each year based on their income, investments, and financial planning. However, it notes that salaried individuals must inform their employers of their choice at the beginning of the financial year for TDS purposes, whereas non-salaried individuals can decide at the time of filing their ITR. The piece also touches on the importance of understanding the implications of each regime, especially in terms of tax savings and long-term financial planning.

Read the Full Mint Article at:
https://www.livemint.com/money/personal-finance/itr-filing-2025-how-often-can-taxpayers-switch-between-new-and-old-income-tax-regimes-11740987793751.html


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