Form 10-IEA: Opting Out of the New Tax Regime (up to FY 2025-26)
Prepare the details for opting out of the default new tax regime when you have business or professional income.
Law version: FY 2025-26 (Income-tax Act, 1961). Checked on 26 Sep 2026.
What it is
Since FY 2023-24 the new tax regime under Section 115BAC is the default. Individuals and HUFs with business or professional income who want the old regime had to file Form 10-IEA before the due date of the return, and could return to the new regime only once. Salaried people without business income choose the regime in the return each year. Form 10-IEA applies up to FY 2025-26 (AY 2026-27). From Tax Year 2026-27 there is no separate form: the option under Section 202 of the Income-tax Act, 2025 is exercised in the return itself.
When it is used
- Business owners or professionals choosing the old regime for FY 2025-26.
- Checking whether a switch back to the new regime is still available.
- Recording the decision before filing the return.
What the template covers
- Name, PAN and address
- Year and type of assessee
- Nature of business or profession
- Income from business or profession
- Declaration
- Date
Details you will need
The generator asks for the following. Fields marked with an asterisk in the form are required; the rest can be left blank and filled in later in Word.
Declaration
Date; Declaration
Assessee
Assessee Name; PAN; Address; Financial Year / Tax Year
Status
Type of Assessee
Business Details
Nature of Business / Profession; Income from Business / Profession (₹)
Stamp duty, registration and filing
The form had to be filed on or before the due date for the return under Section 139(1); a late return does not allow the old regime for a person with business income. Once opted out, a person with business income can re-enter the new regime only once. From Tax Year 2026-27, follow the instructions in the return form (Rule 136 of the Income-tax Rules, 2026).
Form 10-IEA is used up to FY 2025-26 (AY 2026-27). The Income-tax Rules, 2026 have no separate form for this: from Tax Year 2026-27 the option under Section 202 (formerly Section 115BAC) is exercised in the return of income (Rule 136).
Generate the Form 10-IEA — Opt Out of New Tax Regime
Fill in the form and download the draft as a Word file. It is a general template, not legal or professional advice; have it reviewed for your facts before you sign or rely on it.
Need this checked against your facts, or the registration or filing that follows (e.g. TDS returns, ITR)? Contact SKAG and Associates
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Frequently asked questions
Do salaried employees need Form 10-IEA?
No. Taxpayers without business income choose the regime in the return each year.
Is Form 10-IEA used for Tax Year 2026-27?
No. From Tax Year 2026-27 the option is exercised in the return itself.
Can I switch back to the new regime later?
A person with business income who opted out can switch back only once.
This page gives general information for reference only. Laws, stamp duty rates and filing requirements change and differ between States, so confirm the current position for your case. Related: all document templates · free tax calculators · compliance calendar and guides.