Latest Income Tax Filing Rules for Salaried Employees (2025)

Latest Income Tax Filing Rules for Salaried Employees & Freelancers [2025 Update]

Filing your income tax return in 2025? Whether you're a salaried employee, freelancer, influencer, or content creator, this year brings a few important changes you need to know. With updated income tax slabs, simplified filing methods, and new rules around deductions, understanding what's new will save you both time and money.

In this blog, we’ll break down the latest income tax filing rules for FY 2024-25 (AY 2025-26) in a simple, easy-to-follow format—no jargon, no confusion.

Who Needs to File Income Tax in 2025?

Before we dive into the rules, let’s clarify who must file income tax returns:

Salaried employees earning above ₹2.5 lakh (Old Regime) or ₹3 lakh (New Regime).
Freelancers and influencers earning income through services, brand deals, or digital platforms.
Individuals who want to claim a refund or carry forward losses.
People with foreign income or assets (such as NRI remittances or foreign bank accounts).

Key Changes in Income Tax Filing Rules for 2025

Here are the most important updates for this year:

New Tax Regime is Now the Default

Starting from FY 2024-25, the New Tax Regime is considered the default option unless you choose to opt for the Old Regime.

Quick Recap of New Tax Slabs (FY 2024-25):

Annual Income	Tax Rate
Up to ₹3,00,000	Nil
₹3,00,001 – ₹6,00,000	5%
₹6,00,001 – ₹9,00,000	10%
₹9,00,001 – ₹12,00,000	15%
₹12,00,001 – ₹15,00,000	20%
Above ₹15,00,000	30%

Tip: You can still choose the Old Regime if it gives you more tax benefits through deductions.

Standard Deduction Now Extended to Freelancers (Under New Regime)
- Good news for freelancers and gig workers: In 2025, the ₹50,000 standard deduction, which was earlier available only for salaried employees, is now available for freelancers under the New Tax Regime.
Updated ITR Forms for Freelancers and Influencers
- If you're earning money through social media, YouTube, or affiliate marketing, you may now need to report income under the “Income from Business or Profession” section in ITR-3.
- The Income Tax Department is now monitoring digital income more closely, including payments received through UPI, PayPal, Razorpay, etc.
TDS on Freelance and Influencer Income (Section 194R & 194M)
- Brands gifting products or paying influencers in cash/kind over ₹20,000 in a year must deduct TDS at 10%.
- Freelancers getting paid by Indian companies also see 10% TDS under Section 194M, unless they provide a lower deduction certificate.

Step-by-Step Guide to File Your ITR in 2025

Follow these simple steps to avoid penalties and delays:

Collect your documents:
- Form 16 (for salaried individuals)
- Bank statements, UPI/PayPal reports, and invoice summary (for freelancers)
- TDS certificates (Form 16A, 26AS, AIS)
Choose your tax regime
- Compare the Old vs New Tax Regime to check which one gives you the best benefit.
Login to the income tax e-filing portal:
- https://www.incometax.gov.in
Select the correct ITR form:
- ITR-1 for salaried income (no business income)
- ITR-3 or ITR-4 for freelancers, influencers, or side hustles
Declare all income sources
- Salary, interest, freelance income, rental, crypto, etc.
Claim deductions (if using Old Regime):
- 80C, 80D, HRA, Home Loan interest, etc.
Verify and submit:
- Complete your e-verification using Aadhaar OTP or net banking.

Important Dates to Remember

Activity	Due Date
Last date to file ITR (without audit)	31st July 2025
ITR with audit (if applicable)	31st October 2025
Belated or revised return	31st December 2025

Common Mistakes to Avoid in 2025

Choosing the wrong ITR form
Not reporting freelance or digital income
Forgetting to verify your ITR
Missing TDS entries from AIS
Not reconciling income from multiple sources (especially for influencers)

Quick Tips to Save Tax in 2025

Even under the New Tax Regime, here are a few ways to reduce your tax liability:

Use NPS for an additional ₹50,000 deduction under Section 80CCD(1B)
Claim standard deduction of ₹50,000
Opt for presumptive taxation under Section 44ADA if you're a small professional with income under ₹75 lakh

Final Thoughts

The tax filing process in 2025 is more digital, transparent, and data-driven than ever. Whether you're a salaried employee or earning from freelancing, YouTube, or Instagram, staying informed helps you avoid penalties and save more.

If this still feels overwhelming, consult a professional tax advisor to avoid errors and get the best results.

Need help with your ITR filing or tax planning for FY 2024-25?

Our expert team can assist salaried individuals, freelancers, and influencers with end-to-end income tax filing and compliance support — completely online.