ITR-3 enabled for e-filing: Income Tax form covers business and professional income earners, directors, and traders— key things to know before filing for AY 2025–26
The Income Tax Department has enabled online filing for ITR-3 on its e-filing portal for Assessment Year 2025–26 (Financial Year 2024–25), easing return submissions for individuals with income from share trading (including F&O), business ventures, and investments in unlisted shares. The department announced on July 30, 2025: “Kind Attention Taxpayers! Income Tax Return Form of ITR-3 is now enabled for filing through online mode.”Who should file ITR-3 According to Central board for direct Taxes (CBDT) ITR-3 is meant for individuals or Hindu Undivided Families (HUFs) who earn income from business or professional activities. Thus, ITR-3 is filed by those having Business income and are:
- Company directors
- Investors in unlisted equity shares
- Individuals with capital gains or foreign income
- Partners in firms
- Those earning above Rs 50 lakh, also having business income.
- Residents and non-residents with multiple income sources
- Individuals with salary, property income, or pension
- Business professionals ineligible for ITR-1, ITR-2, or ITR-4
Key updates in ITR-3 for AY 2025–26A CA quoted by ET listed out few major changes to note while filing ITR-3 for AY 2025-26. They are-
- Mandatory selection for Form 10-IEA (new tax regime confirmation)
- Revised
capital gains reporting , including split disclosures for gains pre- and post-July 23, 2024 - Separate indexation disclosures for resident taxpayers
- Higher reporting threshold for assets and liabilities (Rs 1 crore and above)
- Inclusion of Section 44BBC (applicable to cruise operations)
- Detailed reporting of dividend income
- Specific treatment of capital loss on share buybacks
Additionally, filers must now provide more granular disclosures on TDS sections and deductions.
