Simple and easy guide to file your ITR correctly for AY 2025-26. Know tax rules, regime choice, deductions, new slabs, and deadlines.
Anisha Kumari | Jun 24, 2025 |
ITR Filing 2025 Made Super Easy: Do It Yourself in Minutes
You can file your ITR without any mistake and in correct manner if you follow these steps properly:
Stay alert, follow these steps and file your return correctly. “Right Form. Right Filing.”
The time for preparing filing ITR is getting near for the taxpayers in India as the FY 2024-25 ends on March 31, 2025. It is important for taxpayers to understand how to calculate income tax and also being aware of new changes took place this year for filing the ITR correctly and on time.
The Indian tax system provides taxpayers two choices to taxpayers, the Old Tax Regime and the New Tax Regime. The default option is now the New Tax Regime but having the details of both will help you decide which one suits you better.
Higher Rebate under Section 87A (New Tax Regime)
The rebate under Section 87A has increased from Rs. 25,000 to Rs. 60,000 this year in the New Regime. If someone’s taxable income is up to Rs. 12 lakh, you won’t have to pay any tax under this regime.
New Income Tax Slabs (New Tax Regime)
The government has revised the tax slab rates for the New Regime:
| Income Slab (Rs.) | Tax Rate |
|---|---|
| Up to 4,00,000 | NIL |
| 4,00,001 to 8,00,000 | 5% |
| 8,00,001 to 12,00,000 | 10% |
| 12,00,001 to 16,00,000 | 15% |
| 16,00,001 to 20,00,000 | 20% |
| 20,00,001 to 24,00,000 | 25% |
| Above 24,00,001 | 30% |
Standard Deduction for Salaried Taxpayers (New Regime)
Salaried individual under the New Regime will be able to claim a standard deduction of Rs. 75,000. So, with the rebate and this deduction the income up to Rs. 12.75 lakh becomes tax fee.
Old Tax Regime Slabs (No Change)
The Old Regime still follows the same tax rates:
| Income Slab (Rs.) | Individuals <60 yrs | Senior Citizens (60–80) | Super Senior Citizens (>80) |
|---|---|---|---|
| Up to 2,50,000 | NIL | NIL | NIL |
| 2,50,001 to 5,00,000 | 5% | 5% | NIL |
| 5,00,001 to 10,00,000 | 20% | 20% | 20% |
| Above 10,00,000 | 30% | 30% | 30% |
Higher Limits for TDS and TCS
The limit for the Interest on deposits for senior citizens is increased from Rs. 50,000 to Rs. 1,00,000. The monthly TDS limit for rent has been increased to Rs. 50,000 .
TCS on foreign remittances under LRS is increased to Rs. 10 lakh. TCS is now removed for education loans taken from specified banks.
More Time to File Updated Returns
Taxpayers are provided up to 4 years from the end of AY, so that they can file an updated return if made any mistake earlier.
Add all your income from these 5 sources:
If you are selecting the Old Regime, you can reduce your income using exemptions such as:
Old Tax Regime offers many deductions under Chapter VI-A:
New Tax Regime: Most deductions are not allowed, except the standard deduction of Rs. 75,000.
Old Regime: Gross Total Income – Exemptions – Deductions = Taxable Income
New Regime: Gross Total Income – Standard Deduction (if applicable) = Taxable Income
Apply Tax Rates
Use the tax rates under your chosen regime to find your tax.
Add Surcharge
If your income is more than Rs. 50 lakh or Rs. 1 crore, extra tax (surcharge) will applicable. In the New Regime, the maximum surcharge is 25% (lower than 37% in the Old Regime).
Add 4% Health and Education Cess
A 4% of health and education cess is charged on the total tax amount (including surcharge).
Subtract Rebate (Section 87A)
Old Regime: if income is up to Rs. 5 lakh then rebate will be Rs. 12,500.
New Regime: if income is up to Rs. 12 lakh then rebate will be Rs. 60,000.
Your selection of tax regime totally depends on your personal financial situation.
Old Regime is better if:
You invest a lot in tax-saving schemes, pay home loan interest and have other deductions.
New Regime is better if:
You don’t claim many deductions and want a simple system. It is useful for incomes between Rs. 7 lakh and Rs. 12 lakh where tax is zero due to the higher rebate.
Use online tax calculators which are available on bank websites or the Income Tax Department portal to compare your tax under both regimes before deciding.
September 15, 2025 will be the last date for filing ITR for individuals and HUFs who don’t need audit. Taxpayers should file their ITR early so that they can avoid errors, system issues or penalties. Keep all documents ready such as Form 16, Form 26AS, AIS (Annual Information Statement), Bank statements, Proofs of investments and deductions. By knowing the rules and planning ahead, you can file your ITR easily and accurately for AY 2025-26.
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