New Delhi, Feb. 25 -- The Central Board of Direct Taxes (CBDT) has amended its rules to improve accuracy and transparency in reporting of income distributed to unit holders by trusts --vehicles used to pool in investments.

The Income-tax (Fifth Amendment) Rules, 2025, notified on Monday, mandate reporting by entities such as real estate and infrastructure investment trusts and securitization trusts in greater detail to improve tax compliance.

The amended rules also bring out new forms to be filled out for reporting of income and its distribution to investors by trusts. The forms are updated for recent legislative changes as well as to modify certain due dates.

Income reporting rules for trusts are significant because some of their earn...