Form 1 Income Tax Rules 2026 pdf download and Key points
FORM NO. 1
[See rule 4]
Under the Income-tax Rules, 2026, Form No. 1 replaces the old Form 3BB. It is governed by Section 66(33) of the Income-tax Act, 2025, and Rule 4 of the Income-tax Rules, 2026.
Here are all the key points regarding Form No. 1:
1. Purpose of the Form Form 1 is a mandatory monthly statement that must be furnished by a stock exchange to report transactions in which client codes have been modified after being registered in the system.
2. Applicability (Who Should File) It must be filed by all stock exchanges (as defined under section 2(92) of the IT Act, 2025) in respect of both cash and derivative market transactions.
3. Frequency and Due Dates
- Frequency: It is an event-based form that must be filed monthly.
- Due Date: It must be filed within 15 days from the last day of each month to which the statement relates.
4. Mode of Filing and Process
- Online Only: The form can only be submitted electronically through the official Income Tax e-filing portal; offline submission is not allowed.
- PAN Requirement: It cannot be submitted without a valid Permanent Account Number (PAN).
- No Edits Allowed: Once Form 1 is submitted and an acknowledgment is generated, it cannot be edited. Stock exchanges must ensure all details are correct before final submission.
5. Key Updates in the 2026 Rules
- Smart Form Format: The basic details section of the stock exchange (such as Name, PAN, and Address) has been upgraded into a “smart form” format.
- Consolidation of Forms: Entities that were previously required to file the old Form 3BC (for commodity derivatives) are now required to file Form 1. As a result, the “commodity derivative name” has been added alongside the “scrip name” in the Scrip Name column of the Derivative Market Table to accommodate these transactions.