
News Topical, Digital Desk : ITR Filing: Salaried employees often have to file Income Tax Return (ITR) to apply for TDS refund. Even if their income is less than the taxable limit. The government now plans to make this process even easier. The next Income Tax Bill 2025 includes a provision for this.
Now it will be easy to claim refund
According to a Hindustan Times report, the committee believes that those with income less than the taxable limit find it unnecessary and cumbersome to claim TDS refund. The committee suggests that taxpayers should be allowed to claim refund by filling a simple form on the basis of their Form 26AS.
Under the new facility, instead of filing the full ITR, a form will be introduced which is easy to fill. This form will automatically take TDS data from Form 26AS. This new form is being designed by the Central Board of Direct Taxes (CBDT). Its purpose is to speed up the process and eliminate the need to file a full return.
Big relief for low income people
Under the new tax system, income up to Rs 12.75 lakh per annum is tax free. However, many times companies deduct TDS if documents are not submitted. In such a situation, a person has to file the full ITR just to claim a refund. This burden is expected to be reduced soon.
Data access facility is also provided
The committee has also given suggestions on data access. The new bill will make it clear that income tax officers should have access to taxpayers' digital devices, records and income-expenditure data to ensure transparency in tax administration. This rule is likely to come into effect from April 1, 2026 after the Income Tax Bill is passed in the 2025-26 budget session of Parliament.
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