By Admin 
Income tax return 2025: If you are a content creator or influencers and a social media platform is a source of earnings for you, then there is a big update in this tax season. Actually, the Income Tax Department has made a big change in ITR-3 and ITR-4 form.
Under this, a new code 16021 has been introduced for those who earn from social media. This code created by Income Tax Return (ITR) utilities for FY 2024-25 (Assessment Year 2025-26) is especially for those influencers who earn through promotion, product endorsment or digital content creation.
Influencers will be able to fill returns
According to the Business Today report, Chartered Accountant Himank Singla said, these codes are now active under the ‘Profession’ category in both ITR-3 and ITR-4 (Sugam). These cords have been added to both online and offline methods to fill the form. That is, now influencers will have to fill one of the ITR-3 and ITR-4 (Sugam) on the basis of their income and tax selection. Whereas till this, there was no separate category about the earnings of influencers. The move aims to make compliance with tax easier for creators, online coaches, bloggers and gig workers.
Digital economy is growing rapidly in the country. According to a report, by the end of 2025, its market can reach $ 2.8 billion (about Rs 23,500 crore). Now through this new code, the Income Tax Department will help in keeping an eye on the earnings of influencers and tax evasion will also be reduced.
Which form select influencers?
To file social media influencers ATR, choose one of ITR-3 or ITR-4 (Sugam) based on your income. The ITR-3 form is for those who have a business or profession of earning. Also, their income is from salary, property or any other source.
The ITR-4 form is for those who choose the option of the Premantic Tax Scheme i.e. who want to pay a part of their earnings as tax. There is no need to keep a bookkeeping in details. If you choose a premistable tax and your earnings are up to Rs 50 lakh, then you should fill the ITR-4 form. If income is more than this and many sources, then use ITR-3 form.
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