Form 69 Income Tax Rules 2026 pdf download and Key points
FORM NO. 69
[See rule 140]
Statement of income of a specified fund eligible for concessional taxation under section 210(2) of the Act
Under the Income-tax Rules, 2026, Form No. 69 replaces the erstwhile Form 10-IH. It is governed by Section 210(2) of the Income-tax Act, 2025 (which replaces the old Section 115AD(1A)) and Rule 140 of the Income-tax Rules, 2026.
Here are all the key points regarding Form No. 69:
1. Purpose of the Form Form 69 serves as an annual statement of income for a “specified fund”. Its primary purpose is to allow the fund to formally claim the benefit of taxation at concessional rates on the income that is attributable to units held by non-residents (provided the non-resident does not have a permanent establishment in India).
2. Applicability (Who Should File) The form must be filed by a specified fund seeking to claim the concessional tax rate benefit for its non-resident unit holders.
- Is it mandatory? Yes, filing a valid Form 69 within the specified time limit is a strictly mandatory condition for making an admissible claim for this concessional taxation.
3. Frequency and Due Date
- Frequency: It is an annual statement filed for the relevant tax year.
- Due Date: The form must be filed on or before the due date for furnishing the return of income as prescribed under Section 263(1)(c) of the Income-tax Act, 2025.
4. Structure of the Form Form 69 is structured to capture the fund’s profile and detailed computation of the eligible income:
- Part A: Captures the identity particulars of the specified fund, including its Name, Address of the registered office, Legal status, Permanent Account Number (PAN), Email ID, Contact Number, and the exact Registration Number and Date issued by the International Financial Services Centre (IFSC) Authority.
- Part B & Computations: Covers the relevant Tax Year and the computation of the income eligible for concessional taxation.
- Annexure 1: Captures the details of income from securities (e.g., dividend, interest) as referred to in section 210(1) [Table Sl. No. 1].
- Annexure 2: Captures the details of capital gains (long-term or short-term) arising on the transfer of securities as referred to in section 210(1) [Table Sl. No. 2 to 5].
5. Mandatory Documents Required To successfully file Form 69, the fund must attach the following mandatory documents:
- A copy of the Trust deed, Memorandum of Association (MOA), or any other legal instrument evidencing the formation of the fund.
- The Certificate of Registration issued by the IFSC.
- Annual financial statements of the fund for the relevant tax year.
- Statement of securities (held during the year and transactions executed) issued by the Broker/Custodian.
- Details of Unit Holders, specifically indicating the number of units held by them and their classification by residency status (resident vs. non-resident).
6. Mode of Filing and Verification
- Online Only: Form 69 must be submitted electronically on the Income Tax Department’s e-filing portal.
- Verification: The statement and all attached annexures must be digitally signed or verified through an Electronic Verification Code (EVC) by the Principal Officer or Managing Trustee of the specified fund. They must also affirm that the fund satisfies the eligibility conditions stipulated in Schedule VI of the ITA 2025.
- No Edits Allowed: Once the form is validly submitted, verified, and an acknowledgment is generated, it cannot be edited.
7. Key Updates in the 2026 Rules
- Verification: The old “Declaration” section of the form has been substituted with a simplified “Verification” section.
- Re-sequencing for Alignment: The annexures and computation columns have been re-sequenced. Details of income from securities (now Annexure 1) now precede the details of capital gains (now Annexure 2) to align exactly with the sequence followed in Section 210 of the Income-tax Act, 2025.