ITR filing FY 2024-25: Taxpayers take note! These 7 changes in new ITR forms excel utilities are important

Time of India

05-06-2025

The income tax department has introduced new validation rules in the Excel-based ITR-1 and ITR-4 forms for FY 2024–25 (AY 2025–26), requiring more detailed disclosures at the time of filing — particularly from salaried taxpayers claiming deductions under the old tax regime.
According to an ET report, experts say this shift to pre-validation aims to curb false claims and ensure quicker, more transparent return processing. Here are 7 key changes in excel utilities forms:
1. HRA claim now needs full salary and rent details
Taxpayers claiming House Rent Allowance (HRA) exemption must now disclose their place of work, actual rent paid, actual HRA received, and salary break-up (basic salary and dearness allowance). They also need to indicate whether they live in a metro or non-metro city, as the exemption is based on 50% or 40% of the basic salary depending on location.
These details are now mandatory in the ITR-1 form.
2. Section 80C deduction requires policy number or ID
To claim deductions under Section 80C — which allows up to Rs 1.5 lakh on investments like PPF, tax-saving FDs, and life insurance — taxpayers must now provide the policy number or a valid document identification number. This move replaces earlier practice where only the deduction amount was reported, bringing more traceability and verification into the system.
3. Section 80D needs insurer's name and policy number
For deductions on medical or health insurance premiums under Section 80D, taxpayers are now required to enter the name of the insurance company and the policy or document number in the return.
This prevents unsupported claims and aligns deduction filings with insurance records.
4. Section 80E asks for full education loan details
To claim interest deduction on education loans under Section 80E, taxpayers must provide detailed loan information. This includes the lender's name, bank name, account number, date of sanction, total sanctioned amount, outstanding amount as on 31 March, and the interest paid. These fields are mandatory, and omission may prevent return submission.
5. Section 80EE / 80EEA home loan claims need lender info
Deductions claimed for interest on home loans under Sections 80EE or 80EEA must now be supported with lender details, account numbers, sanction dates, loan amount, and outstanding balance. This ensures that housing-related deductions are verified against actual bank data and limits the scope for overlapping claims, such as HRA and home loan in the same city.
6. Section 80EEB for loans needs sanction details
Taxpayers claiming interest on loans for electric vehicles under Section 80EEB must disclose lender name, bank name, account number, loan sanction date, total loan amount, and remaining balance as on 31 March.
The requirement mirrors the home and education loan fields and standardises loan-related disclosures across deduction categories.
7. Section 80DDB needs disease name for medical claims
For deductions under Section 80DDB — meant for treatment of specified diseases — the name of the disease being treated is now a compulsory field in the ITR form. This change is aimed at ensuring that medical deduction claims are specific and aligned with medical certification norms.
Chartered Accountant Abhishek Soni, co-founder of Tax2Win, said the changes mark a move from post-filing scrutiny to real-time validation. 'Previously, only deduction amounts were filled in. Now the ITR utility captures data upfront, which brings transparency,' he said.
Gopal Bohra, Direct Tax Partner at N. A. Shah Associates LLP, explained that 276 validation rules are now active for ITR-1 and 347 for ITR-4. 'If a required field is missing — such as a policy number or loan sanction date — the return won't upload.
The system will flag an error and halt the process,' he said.
Ashish Niraj, Partner at A S N & Company, added that these fields are being introduced to stop deduction misuse. 'Some taxpayers claimed HRA and home loan deductions for the same city. Now, fields like 'place of work' and lender details make cross-verification easier,' he said. 'Only those with full, accurate documentation will be able to complete the filing.'
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