CBDT amends Form 3CD of Tax Audit Report w.e.f. Assessment Year 2025-26.
CBDT has revised Form 3CD of Tax Audit Report for AY 2025-26 by notifying the Income-tax (Eighth Amendment) Rules, 2025 vide Notification No. 23/2025 dated 28.03.2025 effective from 1st day of April, 2025.
The summary of amendments made to Tax Audit Report are as under:
| Sl No. | Part of the Form 3CD | Amendment Made |
| 1. | Part-B clause (12) – Whether the profit and loss account includes any profits and gains assessable on presumptive basis, if yes, indicate the amount and the relevant section (44AD, 44AE, 44AF, 44B, 44BB, 44BBA, 44BBB, Chapter XII-G, First Schedule or any other relevant section.) | Section 44BBC inserted |
| 2. | Part-B clause (19) – Amounts admissible under sections: | Rows labelled as “32AC”, “32AD”, “35AC” and “35CCB” omitted |
| 3. | Part-B clause (21) – details of amounts debited to the profit and loss account, being in the nature of capital, personal, advertisement expenditure etc | A row with the words “Expenditure incurred to settle proceedings initiated in relation to contravention under such law as notified by the Central Government in the Official Gazette in this behalf” inserted |
| 4. | Part-B clause (22) – Amount of interest inadmissible under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006 or any other amount not allowable under clause (h) of section 43B | The clause (22) is substituted as under: (i) Amount of interest inadmissible under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act); or (ii) Total amount required to be paid to to a micro or small enterprise, as referred to in section 15 of the MSMED Act, during the previous year; (iii) Of amount referred to in (ii) above, amount – (a) paid up to time given under section 15 of the MSMED Act; (b) not paid up to time given under section 15 of the MSMED Act and inadmissible for the previous year. |
| 5. | Part-B clause (26) – Disallowance under section 43B | (i) the words, brackets and letters “clause (a), (b), (c), (d), (e), (f) or (g) of” shall be omitted. (ii) in sub-clause (A), for the word “allowed”, the word “allowable” shall be substituted; (iii) in sub-clause (B), for the words “and was”, the words, brackets, letters and figures, “and (for clauses other than clause (h) of section 43B) was,” shall be substituted; (f) clauses (28) and (29) shall be omitted |
| 6. | Part-B clause (28) – Whether during the previous year the assessee has received any property, being share of a company not being a company in which the public are substantially interested, without consideration or for inadequate consideration as referred to in section 56(2)(viia), if yes, please furnish the details of the same | This clause is omitted. |
| 7. | Part-B clause (29) – Whether during the previous year the assessee received any consideration for issue of shares which exceeds the fair market value of the shares as referred to in section 56(2)(viib), if yes, please furnish the details of the same | Omitted |
| 8. | Part-B clause (31) – Particulars of each loan or deposit in an amount exceeding the limit specified in section 269SS taken or accepted during the previous year | 1. In sub-clauses (a) and (b), for item (ii), the following item shall be substituted :– (ii) Amount of each loan or deposit taken or accepted and code of the nature of such amount. 2. In sub-clause (c), for item (ii), the following item shall be substituted:- Amount of each repayment of loan or deposit or any specified advance and code of the nature of such amount, as given |
| 9. | Part-B clause (36B) | New clause (36B) inserted: (a) Whether the assessee has received any amount for buyback of shares as referred to in sub-clause (f) of clause (22) of section 2? (Yes/No) (b) If yes, please furnish the following details: (i) Amount received (in Rs.) and (b) Cost of acquisition of shares bought back |
Note: The following code has been notified for the nature of amount/ receipt/ repayment under clause 31.
|
Sl No. |
Nature of amount or receipt or repayment |
Code |
|
1 |
Cash payment |
A |
|
2 |
Cash receipt |
B |
|
3 |
Payment through non account payee cheque |
C |
|
4 |
Receipt through non account payee cheque |
D |
|
5 |
Transfer of asset |
E |
|
6 |
Transfer of liability |
F |
|
7 |
Conversion of assets |
G |
|
8 |
Conversion of liabilities |
H |
|
9 |
Journal entry [Debit] |
I |
|
10 |
Journal entry [Credit] |
J |
|
11 |
Any other mode [Debit] |
K |
|
12 |
Any other mode [Credit] |
L |
Download CBDT Notification No. 23/2025 Click Here >>
Download Revised Excel Form 3CD applicable from AY 2025-26 Click here >>
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