The CBDT has notified ITR-Form 3 for AY 2025-26 through Notification No. 41/2025 dated 30.04.2025, introducing significant updates. Key changes include a split in the Schedule-Capital Gain for gains before and after 23.07.2024, reflecting amendments from the Finance Act, 2024. Capital loss on share buyback is now allowed if the corresponding dividend income is reported under “Income from Other Sources” for transactions post-01.10.2024. The asset and liability reporting threshold has been increased to ₹1 crore of total income. Additionally, Section 44BBC (specific to cruise business) has been incorporated, along with enhanced reporting requirements for deductions under Sections 80C and 10(13A), and a mandate to report the TDS section code in Schedule-TDS.
Key updates:
- Schedule-Capital Gain split for gains before/ after 23.07.2024 (post changes in Finance Act, 2024)
- Capital loss on share buyback allowed if corresponding dividend income is shown as income from other sources (post 01.10.2024)
- Asset & liability reporting limit raised to ₹1 crore of total income
- Reference of sec 44BBC (cruise biz) added Enhanced reporting for deductions [80C,10(13A)] etc.
- TDS section code to be reported in Schedule-TDS
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 41/2025 – Income Tax | Dated: 30th April, 2025
G.S.R. 279(E).—In exercise of the powers conferred by section 139 read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend Income-tax Rules, 1962, namely: –
1. (1) These rules may be called the Income-tax (Thirteenth Amendment) Rules, 2025;
(2) They shall come into force with effect from the 1st day of April, 2025;
2. In the Income-tax Rules, 1962 (hereinafter referred to as the said rules), in Appendix II, for FORM ITR-3, the following FORM shall be substituted, namely: –––
VERIFICATION
I, son/ daughter of solemnly declare that to the best of my knowledge and belief, the information given in the return and schedules thereto is correct and complete and is in accordance with the provisions of the Income-tax Act, 1961. I further declare that I am making returns in my capacity as ___________ (drop down to be provided) and I am also competent to make this return and verify it. I am holding permanent account number (if allotted) (Please see instruction). I further declare that the critical assumptions specified in the agreement have been satisfied and all the terms and conditions of the agreement have been complied with. (Applicable in a case where return is furnished under section 92CD)
Date
Place
Sign here ➔”.
[F. No. 370142/14/2025-TPL]
SURBENDU THAKUR, Under Secy., Tax Policy and Legislation
Note:- The principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (ii) vide notification number S.O. 969 (E), dated the 26th March, 1962 and was last amended vide notification number G.S.R. 271(E), dated the 29th April, 2025.
Explanatory Memorandum: – It is hereby certified that no person shall be adversely affected by giving retrospective effect to these rules.
