The Income Tax Department has issued FAQs and guidance on Form 80 under Section 231 of the Income Tax Act, 2025, which replaces Form 65 and enables eligible shipping companies to opt for or renew the Tonnage Tax Scheme. This scheme allows taxation based on tonnage rather than actual income, offering a simplified tax regime for shipping businesses. Filing Form 80 is mandatory for companies engaged in operating ships or inland vessels, either for first-time option or renewal after the 10-year validity period. The form requires detailed disclosure of owned and chartered vessels, along with supporting documents such as registration certificates and approvals. It must be filed within prescribed timelines and verified by authorized signatories, with incomplete applications treated as invalid. Upon approval, income from qualifying shipping activities is computed under the scheme. The process ensures regulatory compliance, transparency, and continued eligibility for tax benefits under the tonnage-based taxation framework.
Income Tax Department
Ministry of Finance, Government of India
FAQs on Income Tax Form 80: Application for exercising/renewing option for the tonnage tax scheme under section 231(1) or 231(10) of Income Tax Act, 2025
Form 80 – Frequently Asked Questions
Application for exercising/renewing option for the tonnage tax scheme under section 231(1) or 231(10) of the Act
| Name of form as per I.T. Rules, 1962 | Form 65 | Name of form as per I.T. Rules, 2026 | 80 |
| Corresponding section of I.T. Act, 1961 | 115VP/115VR | Corresponding section of I.T. Act, 2025 | 231 |
| Corresponding Rule of I.T. Rules, 1962 | 11P | Corresponding Rule of I.T. Rules, 2026 | 146 |
Q.1 What is Form 80?
Answer: Form 80 is prescribed for making an application by an eligible company for exercising or renewing the option for taxation under the Tonnage Tax Scheme, in accordance with the provisions of Chapter XII-G of the Income-tax Act, 2025.
Q.2 Who is required to file Form 80?
Answer: Form 80 is required to be filed by an Indian company which:
- Is engaged in the business of operation of ships or inland vessels, and
(i) Wishes to exercise the option for the Tonnage Tax Scheme under section 231(1), or
(ii) Seeks to renew an earlier option under section 231(10) of the Act.
Q.3 Is filing of Form 80 mandatory?
Answer: Yes. Filing of Form 80 is mandatory for a company that intends to be governed by the Tonnage Tax Scheme or to continue under the scheme by renewal of option.
Q.4 When should Form 80 be filed for exercising the option for the first time?
Answer: Form 80 should be filed within the prescribed time period after the company becomes a qualifying company, as provided under section 231(1) of the Income-tax Act, 2025.
Q.5 When should Form 80 be filed for renewal of option?
Answer: An option for tonnage tax scheme, after it has been approved under section 231(4), shall remain in force for ten years from the date on which such option has been exercised and shall be taken into account from the tax year in which such option is exercised. Form 80 for renewal should be filed within one year from the end of the tax year in which the option ceases to have effect as per section 231(10) of the Act.
Q.6 What are the different parts of Form 80?
Answer: Form 80 consists of:
- Part A – General particulars of the applicant company and details of ships or inland vessels
- Part B – Statement of particulars to be furnished only in case of renewal of option
- Declaration – Verification by the authorised signatory
- Annexures – Supporting documents as specified in the Notes
Q.7 Is Part A required to be filled in all cases?
Answer: Yes. Part A is required to be filled both for exercising and renewing the option for the Tonnage Tax Scheme.
Q.8 Is Part B required to be filled in all cases?
Answer: No. Part B is required to be filled only where Form 80 is filed for renewal of the option under section 231(10).
Q.9 What particulars of ships or inland vessels are required to be furnished in Form 80?
Answer: The applicant is required to furnish detailed information regarding:
- Owned ships or inland vessels,
- Ships or inland vessels chartered in, including classification based on:
- Bareboat charter-cum-demise,
- Bareboat charter for more than three years,
- Bareboat charter for less than three years,
- Other charter arrangements, and
- Ships or inland vessels chartered out,along with details such as net tonnage,
flag, type, charter period, approval reference number, and qualifying status.
Q.10 What is meant by a “qualifying company” for the purpose of Form 80?
Answer: A qualifying company means a company that satisfies the conditions specified under Chapter XII-G of the Income-tax Act, 2025, including conditions relating to incorporation, management, business activity, and ownership or chartering of qualifying ships or inland vessels, claim of deduction under section 147 of the Act.
Q.11 What documents are required to be enclosed with Form 80?
Answer: The applicant is required to enclose relevant supporting documents as annexures, including:
- Certificates of registration and tonnage measurement of ships,
- International tonnage certificates, where applicable,
- Permissions from the Director General of Shipping for chartered ships registered outside India,
- Certificates issued under the Inland Vessels Act, 2021, and
- Copies of earlier approval orders in case of renewal.
Q.12 What are Annexures A-1 to A-3 referred to in Form 80?
Answer: Annexures A-1 to A-3 contain ship-wise documentary evidence and copies of approval orders, as specified in Note 6 of Form 80, corresponding to the relevant serial numbers of Part A or Part B.
Q.13 With which authority should Form 80 be filed?
Answer: Form 80 should be filed with the Joint Commissioner of Income-tax having jurisdiction over the applicant company.
Q.14 Who is authorised to sign and verify Form 80?
Answer: Form 80 shall be signed and verified by:
- The Managing Director, or
- Any Director, where the Managing Director is unable to sign or where there is no Managing Director.
In special circumstances, it shall be signed by:
- The liquidator, where the company is under winding up, or
- The principal officer, where management has been taken over by the Government.
Q.15 Can Form 80 be treated as valid if some columns or annexures are not furnished?
Answer: No. All columns in Form 80, including applicable annexures, must be completely filled and furnished. Incomplete applications are liable to be treated as invalid.
Q.16 Is any information in Form 80 pre-filled?
Answer: Yes. Certain information may be pre-filled based on data available with the Income-tax Department. However, the applicant is responsible for ensuring the correctness of all particulars furnished.
Q.17 What are the consequences of furnishing incorrect or false information in Form 80?
Answer: Any person making a false statement in Form 80 or its annexures shall be liable for prosecution under section 482 of the Income-tax Act, 2025, in addition to other consequences under the Act.
Q.18 Is a separate Form 80 required for each option or renewal period?
Answer: Yes. A separate Form 80 is required:
- For exercising the option initially, and
- For each subsequent renewal of the option under the Tonnage Tax Scheme.
Guidance Note on Income Tax Form 80: Application for exercising/renewing option for the tonnage tax scheme under section 231(1) or 231(10) of Income Tax Act, 2025
Guidance Note – Form No. 80
Application for exercising/renewing option for the tonnage tax scheme under section 231(1) or 231(10) of the Act
| Name of form as per I.T. Rules, 1962 | Form 65 | Name of form as per I.T. Rules, 2026 | 80 |
| Corresponding section of I.T. Act, 1961 | 115VP/115VR | Corresponding section of I.T. Act, 2025 | 231 |
| Corresponding Rule of I.T. Rules, 1962 | 11P | Corresponding Rule of I.T. Rules, 2026 | 146 |
Purpose
Form No. 80 is prescribed for making an application for exercising or renewing the option for taxation under the Tonnage Tax Scheme in accordance with the provisions of Chapter XII-G of the Act.
The form enables an eligible company engaged in the business of operating ships or inland vessels to opt for, or renew its participation in, the Tonnage Tax Scheme. The information furnished in the form enables the Income-tax Department to verify whether the applicant company satisfies the conditions prescribed under the Act for being governed by the Tonnage Tax Scheme.
Who Should File
Form No. 80 is required to be furnished by an Indian company engaged in the business of operating ships or inland vessels which:
- wishes to exercise the option for the Tonnage Tax Scheme under section 231(1); or
- seeks to renew an earlier option under section 231(10) of the Act.
Filing of this form is mandatory for a company intending to be governed by the provisions of the Tonnage Tax Scheme or seeking renewal of the option under the scheme.
What is the due date for filing the Form?
- For exercising the option:
The application shall be furnished within three months from the date of incorporation of the company or from the date on which it becomes a qualifying company, as the case may be.
- For renewal of the option:
An option for tonnage tax scheme approved may be renewed within one year from the end of the tax year in which the option ceases to have effect.
Structure of Form
Form No. 80 broadly consists of the following parts:
1. Part A – Particulars of the applicant company and details of ships or inland vessels owned, chartered in, or chartered out
2. Part B – Statement of particulars to be furnished only in case of renewal of option
3. Declaration
4. Annexures
Part A is required to be filled in both in cases where the company is exercising the option for the first time and where it is renewing the option. Part B is required to be filled only in cases where the application is made for renewal of the option.
What are the documents required to file the Form
The following documents may be required to be furnished along with Form No. 80 as annexures:
1. Certificates of registration and tonnage measurement of ships issued under the Merchant Shipping Act, 1958.
2. International tonnage certificates issued under the Convention on Tonnage Measurement of Ships, 1969, where applicable.
3. Permissions obtained from the Director General of Shipping for ships chartered in that are registered outside India.
4. Certificates issued under the Inland Vessels Act, 2021 in respect of inland vessels.
5. Copies of earlier approval orders, in cases where the application is filed for renewal of the option.
These documents assist in verification of the eligibility of ships or inland vessels for the purposes of the Tonnage Tax Scheme.
What is the process flow of filing Form
The process flow broadly involves the following steps:
1. The applicant company prepares Form No. 80 by furnishing the required information relating to the company, its directors, and details of ships or inland vessels owned, chartered in, or chartered out.
2. Relevant supporting documents relating to ships, inland vessels and approvals are attached as annexures.
3. The completed form is furnished electronically through the income-tax e-filing portal in the manner prescribed.
4. The application is examined by the Income-tax Department to verify whether the applicant company satisfies the conditions specified under Chapter XII-G of the Act.
5. Based on such examination, the competent authority may allow the company to exercise or renew the option for taxation under the Tonnage Tax Scheme.
Outcome of Processed Form
Upon processing of the application:
- If the prescribed conditions are satisfied, the applicant company may be allowed to exercise or renew the option for taxation under the Tonnage Tax Scheme.
- Upon such approval, the income of the qualifying shipping business of the company shall be computed in accordance with the provisions of the Tonnage Tax Scheme.
- In cases where the conditions prescribed under the Act are not satisfied or the application is incomplete, the application may not be accepted.
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 changes as per the Income-tax Act, 2025.
4. Currency symbol “Rs.” has been replaced with “₹”.
