Form 4 under the Income-tax Rules, 2026 is an accountant-certified report required for computing income attributable to assets located in India under Section 9(10) of the Income-tax Act, 2025. It replaces Form 3CT under the 1961 regime and must be filed electronically along with the return of income by the due date. The form is mandatory where such income is taxable in India and can be filed only once per tax year. It requires details such as asset valuation, financial statements, transaction documents, and computation methodology. Filing must be done online through the e-filing portal using a UDIN generated by a registered accountant and digitally signed. Once submitted, it cannot be revised without revising the return. The form enhances transparency and assists tax authorities in verifying cross-border asset transfer income. Non-compliance may trigger assessment proceedings. The new format introduces structured tables and system-friendly changes for improved reporting and clarity.
Form 4 – Frequently Asked Questions related to Income attributable to assets located in India under section 9(10)(a) of Income Tax Act, 1961
| Name of form as per I.T. Rules, 1962 | Form 3CT |
Name of form as per I.T. Rules, 2026 | 4 |
| Corresponding section of I.T. Act, 1961 | 9(1) | Corresponding section of I.T. Act, 2025 | 9(10) |
| Corresponding Rule of
I.T. Rules, 1962 |
11UC | Corresponding Rule of I.T. Rules, 2026 | 11 |
1. What is Form 4?
Ans: Form 4 is report by Accountant regarding the calculation of income attributable to transfer of assets located in India under section 9(9) of the Income-tax Act, 2025. This form is prescribed under Rule 11 of Income-tax Rules, 2026.
2. Who should file Form 4?
Ans: Form 4 can be filed by Accountant which the taxpayer has appointed for this purpose. The taxpayer is one who has earned income attributable to transfer of assets located in India.
3. Is Form 4 mandatory?
Ans: Form 4 is mandatory if the income is chargeable to tax in India.
4. What is the time limit for filing Form 4?
Ans: Form 4 must be filed along with the Return of Income and the due date for filing of return of income applies to this Form too depending on the taxpayer profile.
5. How many times can Form 4 be filed in a year?
Ans: Form 4 is be filed once in a tax year along with the Return of Income.
6. What documents are required to file Form 4?
Ans: Following documents may be required for filing Form 4:
- Communication addresses, emails, contact number
- Valuation report of the valuation of the assets
- Financial statements of the taxpayer
- Documents related to the sale of asset/s
7. Can I edit Form 4 after submission?
Ans: No. Once Form 4 is submitted and acknowledgment is generated, it cannot be edited. Ensure all details are correct before submission. Form 4 cannot be re-filed without revised Return of Income.
8. Do I need to attach proof of tax payment?
Ans: The form does not require proof of tax payments. However, where taxable income arises, for processing the return of income filed in this respect, proof of tax and interest payment (challans/BSR codes) is mandatory.
9. While filling personal details, can I leave Aadhaar or mobile number blank?
Ans:
- Aadhaar is no longer required in the personal details.
- Mobile number ensures faster communication and verification; it is recommended to provide it.
10. What if I do not have a PAN?
Ans: Form 4 cannot be submitted without a valid PAN.
11: Can Form 4 be filed offline?
Ans: No. Form 4 can only be submitted online through the Income Tax e-Filing portal.
12. What is the process flow of filing Form 4?
Ans: The process flow for filing Form 4 includes following steps
1. Firm/Accountant has to register on the UDIN portal to generate UDIN as per the process of the ICAI.
2. The Form is to be filed electronically through the e-filing portal of the Income Tax Department by the accountant after generation of Unique Document Identification Number.
3. The statement should be digitally signed by the Accountant.
13: Why is Form 4 important?
Ans: Filing Form 4 enables Assessing Officer to understand the computation of income on transfer of assets and would thus enable easier processing and scrutiny of the Return of Income.
Failure to file Form 4 can lead to proceedings for assessment of income under the Income-tax Act, 2025.
Guidance Note on Form 4 – Income attributable to assets located in India under section 9(10)(a) of Income Tax Act, 1961
| Name of form as per I.T. Rules, 1962 | Form 3CT |
Name of form as per I.T. Rules, 2026 | 4 |
| Corresponding section of I.T. Act, 1961 | 9(1) | Corresponding section of I.T. Act, 2025 | 9(10) |
| Corresponding Rule of
I.T. Rules, 1962 |
11UC | Corresponding Rule of
I.T. Rules, 2026 |
11 |
A. PURPOSE
The Form is report by Accountant regarding the calculation of income attributable to transfer of assets located in India under section 9(10) of the Income-tax Act, 2025. This form is prescribed under Rule 11 of Income-tax Rules, 2026.
B. WHO SHOULD FILE
Accountant, which the taxpayer has appointed for this purpose.
C. FREQUENCY & DUE DATES
- Form 4 must be filed once in a tax year
- The Form must be filed along with the Return of Income and the due date for filing of return of income applies to this Form too depending on the taxpayer profile.
D. STRUCTURE OF FORM 4
1) Details such as communication address, email, phone number etc. which is as per the standard template provided for all forms.
2) Details regarding the transaction of transfer of share of interest entity-wise, income derived from such transfer, value of assets located in India, value of global assets, method employed for arriving at the value of the assets.
E. WHAT ARE THE DOCUMENTS REQUIRED TO FILE THE FORM 4?
Following documents may be required for filing Form 4:
- Communication addresses, emails, phone numbers of the taxpayer.
- Valuation report of the valuation of the assets
- Financial statements of the taxpayer
- Documents related to the sale of asset/s
F. FILING COUNT
For the F.Y. 2024-25, 56 forms have been filed.
G. WHAT IS THE PROCESS FLOW OF FILING FORM 4?
The process flow includes following steps
1. Firm/Accountant has to register on the UDIN portal to generate UDIN as per the process of the ICAI.
2. The Form is to be filed electronically through the e-filing portal of the Income Tax Department by the accountant after generation of Unique Document Identification Number.
3. The statement should be digitally signed by the Accountant.
H. OUTCOME OF PROCESSED FORM 4
The form is required for cross-verification with regard to the income offered in the return of income
Consequences of Non-compliance:
Failure to file Form 4 can lead to proceedings for assessment of income under the Income-tax Act, 2025.
I. BRIEF NOTE ON BROAD OR QUALITATIVE CHANGES PROPOSED
Key updates include the following
1. Part-A, the standard template to capture the details of the tax payer
2. Sub-tables introduced to present clear picture of the information to be filed.
J. CHALLENGES AND SOLUTIONS
- Since the existing notified form is in Row-wise format with numerous sub rows, to provide clarity on information and all the information that are to gather to fill the form, tabular structure has been introduced.
K. COMMON CHANGES MADE ACROSS FORMS
1. To make Forms system-friendly and enable e-filing and uploading, certain anomalies found due to grouping of Name, Designation, Address, PAN and Aadhaar number have been separated into different boxes.
2. Assessment / Financial / Previous year or years have been replaced with Tax year or years, wherever appearing in the Form/Annexure.
3. Sections, Clauses and Schedules changed as per the Income-tax Act, 2025.
4. Common verification statement.
5. Common details for all forms filed by accountants such as firm registration details, UDIN
