The Income Tax Department has rolled out a new and simplified form for reporting Tax Collected at Source (TCS), aiming to make compliance easier for businesses and collectors. From April 1, 2026, Form 143 replaced the older Form 27EQ.
It posted on X, “Old form 27EQ has been replaced with new form 143. Form 143 – Quarterly statement of TCS filed by collector.”
The move is part of a wider effort to simplify tax processes under the updated Income-tax framework and reduce errors in filing.
WHAT THE NEW FORM IS ABOUT
Form 143 is a quarterly statement that must be filed by those responsible for collecting TCS on specified transactions. These include activities such as sale of goods, scrap, liquor, foreign travel packages and overseas remittances, among others.
The idea is to bring all such reporting under a more user-friendly and standardised format.
SIMPLER STRUCTURE AND BETTER DESIGN
The new form has been divided into three parts—Part A, Part B and an annexure. While Part A captures basic details of the collector, Part B focuses on tax collected and deposited.
The annexure brings together transaction-level details, including PAN, tax collected and other relevant information for each collectee. This structure is designed to make filing clearer and more organised.
FOCUS ON EASE AND ACCURACY
One of the key changes is the use of technology. The form includes features like auto-filled data, drop-down options and real-time error checks. These changes are expected to reduce mistakes and make the process faster.
Another important update is that different tax components like surcharge and cess have now been merged into a single column, making reporting simpler.
FILING TIMELINES REMAIN THE SAME
Even with the new format, the quarterly filing deadlines remain unchanged. Businesses will continue to file returns for each quarter within the existing timelines.
However, it is important to note that the old Form 27EQ will still apply for the last quarter of FY 2025–26. The new Form 143 will be used for filings from the next financial year onwards.
Overall, the new form is aimed at making tax filing less complicated and more efficient. With clearer fields and built-in checks, the department hopes it will save time and reduce compliance burden for users.
