ITR-3 Utility Updated: New codes added Under “Nature of Business/Profession”
The Income Tax Department has released the Income Tax Return (ITR) utility new codes under “Nature of Business/Profession” to improve developing sectors and activities. Important additions are the following:
- 09029 – Commission agents- Kachcha Arahitya
- 16021 – Social Media Influencers
- 21009 – Speculative Trading
- 21010 – Futures and Options Trading
- 21011 – Buying and Selling Shares
The Income Tax Return (ITR) added by advising Taxpayers and experts must choose the right business/profession code while filing ITR to ensure correct classification of income for AY 2025-26. Avoid notices and surveys due to mismatched data and provide smooth ITR processing by the Income Tax Department. By Selecting the appropriate code, it will ensure the following:
- Quicker and correct ITR processing
- Less risk of tax survey or mismatches
- Proper classification of income
Who is eligible to file ITR-3?
The ITR-3 form is used by individuals and HUFs who have income from business or profession. This also includes freelancers, professionals, and partners in a firm (but not LLP owners). Following are eligible to file ITR-3:
- Individuals/HUFs who run a business or profession
- Those receiving remuneration, interest, or commission from a partnership firm
- Individuals with multiple income from multiple sources, such as Salary, pension, house property, etc.
New ‘Nature of Business/Profession’ codes are as follows:
| Sector | Sub-sector | Code |
| Wholesale / Retail Trade | Commission agents- Kachcha Arahita | 09029 |
| Profession | Social Media Influencers | 16021 |
| Other Services | Speculative trading | 21009 |
| Other Services | Futures and Options trading | 21010 |
| Other Services | Buying and Selling Shares | 21011 |