India 2025 tax audit changes: The Government of India has introduced the

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. 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 new bill proposed to increase the monitoring of international companies and multinational corporations to stop tax evasion. For tax audits, Indian businesses with international activities require improved paperwork. Companies in IFSC benefit from loosened tax audit regulations, which enhance India 's standing as a financial center. Check out the detailed analysis on tax and regulatory amendments announced by the Hon'ble Finance Minister at her Budget 2025 -26 speech.