ITR was processed under the old tax regime due to tax consultant's mistake, taxpayer faced Rs 1.23 lakh demand: ITAT Bangalore allowed new tax regime

Mr Shah from Ali Asker Road, Bengaluru, filed his income tax return (ITR) under the new tax regime and declared a total income of Rs 32.55 lakh. Unfortunately, on September 30, 2025, Mr Shah’s consultant mistakenly filed a Form No. 10-IEA, which opted him out of the new tax regime.

This error meant that Shah, who had filed his ITR based on the new tax regime, was now subject to higher taxes under the old tax regime.