New ITR Forms Out: ICAI’s Fee Guidelines – What CAs Can Charge in 2025

The Central Board of Direct Taxes (CBDT) has officially released ITR-1, ITR-3, and ITR-4 for the Assessment Year 2025–26, signaling the beginning of the new income tax filing season. As individuals and businesses prepare to file their returns, one of the most common questions arises:

???? “What will a Chartered Accountant (CA) charge for filing my ITR?”

To provide clarity and promote fair compensation for professionals, the Institute of Chartered Accountants of India (ICAI) has issued a Minimum Recommended Scale of Fees for various types of income tax filings and related services.

Who Sets These Fees?

These guidelines are issued by the Committee for Members in Practice (CMP) under ICAI. They are not mandatory but serve as a baseline to help standardize CA charges across India. This also helps clients understand the reasonable cost of services, especially as the complexity of tax matters continues to grow.

The recommended fee varies based on:

• The type of taxpayer (individuals, HUFs, businesses, companies, etc.)

• The complexity of the return (e.g., income from salary, capital gains, property sales, business income)

• The city classification, which is divided into Class A (metros), Class B (tier-2 cities and state capitals), and Class C (smaller towns and semi-urban areas)

What Can You Expect to Pay?

For salaried individuals or those earning income from other sources, the minimum recommended charge begins at ₹4,000 in smaller cities and goes up to ₹8,000 or more in major metro areas.

If your return involves capital gains, the fees are higher depending on the number of transactions. For example, up to 10 transactions in shares and securities could start from ₹5,000 in Class C cities, rising to ₹11,000 and above in metros. If you have more than 10 capital gain transactions, the minimum fee starts from ₹8,000 in Class C cities and can go up to ₹17,000 or more in Class A locations.

For individuals selling immovable property, CAs may charge ₹15,000 or more in smaller cities and up to ₹32,000 or more in metros, considering the complexity and documentation involved.

If your ITR filing involves preparing bank summaries, capital accounts, and a balance sheet, the starting fee ranges from ₹6,000 in Class C cities to ₹12,000 or more in Class A cities.

For sole proprietors or partnership firms that require advisory services, charges start from ₹8,000 in smaller towns and can go up to ₹15,000 and above in metro cities. Filing a return for a minor’s income also falls under a similar range of ₹4,000 to ₹8,000 or more.

When it comes to companies, the fee depends on whether the entity is active or defunct, and whether it’s private or public. Active private limited companies can expect to pay ₹12,000 and above in smaller towns, rising to ₹25,000 or more in Class A cities. For public limited companies, fees are considerably higher, starting at ₹30,000 and going up to ₹65,000 or more for active companies.

What About Additional Services?

The ICAI has also suggested minimum fees for filing TDS/TCS returns, Form 15G/15H, and other miscellaneous forms under the Income Tax Act. For example, filing a basic TDS return with up to five entries may cost ₹2,000 to ₹4,000 depending on the city class. More complex forms or those with multiple entries may cost significantly more.

Forms like PAN application (49A/49B) and other compliance forms are also covered under the recommended fee list, generally starting at ₹2,000 in smaller towns and going up in metros.

ITR Filing Due Dates for AY 2025–26

To avoid penalties and last-minute rush, it’s important to keep these deadlines in mind:

• For individuals and HUFs not subject to audit, the last date to file is 31st July 2025.

• For audit cases, such as firms and companies, the deadline is 31st October 2025.

• For companies that require transfer pricing audits, the final date is 30th November 2025.

Frequently Asked Questions (FAQs)

Q1. Are ICAI’s recommended fees mandatory?
No, these are not mandatory. They serve as a guidance benchmark and help both professionals and clients ensure fair pricing.

Q2. Can a CA charge more than the recommended amount?
Yes. These are minimum recommended fees. A CA may charge more depending on experience, the scope of work, and complexity.

Q3. Are these charges inclusive of GST?
No. These fees are exclusive of GST. Typically, professional services attract 18% GST over and above the quoted fee.

Q4. What if I file my return late?
Late filing may attract penalties under Section 234F, ranging from ₹1,000 to ₹5,000, depending on your total income.

Q5. How can I find a reliable CA near me?
You can search for CAs on the official ICAI website or consult with reputed local firms in your area.

Final Thoughts

The ICAI’s minimum fee guidelines are a valuable tool for both taxpayers and practitioners. They help ensure transparency, fair pricing, and quality service in the income tax filing process. As we move into the 2025 tax season, whether you’re a salaried employee, an investor, or a business owner, it’s wise to understand your tax obligations and consult a qualified CA well in advance.