India 2025 tax audit changes: The Central Board of Direct

The Central Board of Direct Taxes (CBDT) has notified the Income-tax (Eighth Amendment) Rules, 2025 via Notification No. 23/2025, introducing significant modifications to Form 3CD, the tax audit report required under Section 44AB of the Income-tax Act, 1961. The Government of India has introduced the Income- tax (Eighth Amendment) Rules, 2025 , bringing significant changes to the Income- Tax Rules, 1962. These amendments, effective from April 1, 2025 , impact tax audit reporting under Section 44AB of the Income- tax Act, 1961. Navigating the New Tax Audit Landscape: Key Changes in Forms 3CB and 3CD for AY 2025 -2026 As the tax audit season for the Assessment Year (AY) 2025 -2026 kicks off, businesses and tax professionals in India are gearing up for significant updates to the tax audit forms, particularly Form 3CB and Form 3CD. Form No.3CD, the role of tax audit is becoming indispensably important year after year. Chartered Accountants are expected to demonstrate not only technical expertise but also sound professional ju. gment in navigating these changes and ensuring full adherence to statutory requirements. Their role is pivotal i.