All medical professionals in India must keep a record of cases seen on a daily basis in a document called Form 25 according to the Income Tax Rules, 2026, if their income from professional sources exceeds a certain limit.
This requirement, stipulated in Rule 46(6) of the Income Tax Rules, is applicable to all types of medical professionals, such as physicians, surgeons, dentists, radiologists, pathologists, and traditional healers like hakims.
This rule seeks to promote transparency in declaring professional income and prevent underreporting.
When is Form 25 mandatory?
Maintenance of Form 25 becomes compulsory if a doctor’s gross receipts exceed ₹1.5 lakh in any one of the three immediately preceding assessment years. The rule also applies to newly established practices if their receipts are likely to cross the same threshold in the current year.
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The register serves as a primary record of earnings and must be updated on a day-to-day basis.
According to income tax provisions, while Form 25 is not required to be submitted with income tax returns, it must be produced before the Assessing Officer if called for scrutiny.
What details must doctors record?
Form 25 is structured as a tabular daily log and captures key details of each patient interaction and payment. These include:
Date and serial or case number
Name of the patient
Nature of professional services rendered
Fee received
Date of receipt of fee
The record must be maintained consistently and in real time to ensure accuracy.
Retention rules and digital format
It is required to keep Form 25 safe for at least seven assessment years from the end of the particular financial year. If any procedure of reassessment is started, it will have to be kept till completion of the procedure of reassessment.
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The register can be maintained digitally, provided the data remains accessible in India at all times. Backups must be stored on servers located within the country and updated regularly.
“Form 25 serves as a primary record of professional receipts of medical practitioners… and enables verification by the Assessing Officer,” the Income Tax Department said.
