@Quicko from this FY new tax regime will be default regime. So, for FNO trader, if he wish to remain in an old regime, whether he need to file form 10IE in FY 23-24? And suppose in later years, he didn’t had trading transactions and will file ITR1 /2 whether he can change his regime fro what he declared in form 10IE only for that non trading FY. And later he again did FNO trading, so whether he has to again come back to his old regime (what he intially chose in form 10IE)?
Thanks
Hi @sachindei65
Yes, from this Financial year (2023-24) onwards, the new tax regime shall be the default tax regime. Finance Minister stated in her budget speech that if taxpayers want to opt for the old regime, they need to declare it, or the return will be processed as per the New regime. Clarification is awaited from FM regarding the filing of Form 10IE in case the taxpayer wants to opt for the old regime.
As per the current rules, Form 10 IE has to be filed in below 2 situations:
a. When taxpayer wants to opt for the new regime (Has business/profession income)
b. When taxpayer wants to opt out of the new regime.
A taxpayer can switch between the regimes every year in the taxpayer does not have income from Business & Profession.
We recommend waiting until FM clarifies the filing of form 10 IE for the current financial year and the implications of the same.
Hope this helps.