The Income Tax Act 2025 introduces a series of updated provisions and amendments aimed at streamlining taxation processes for individuals, businesses, and organizations in India. This category covers key changes and new regulations under the Act, including tax rates, exemptions, deductions, compliance requirements, and procedural updates. It is designed to guide taxpayers, chartered accountants, and legal professionals through the latest tax laws, ensuring accurate filing, improved transparency, and enhanced ease of doing business. Explore detailed insights on the income tax landscape for 2025, including provisions for both direct and indirect taxation, digital taxation trends, and government initiatives for economic growth.
(1) This Act may be called the Income-tax Act, 2025.(2) It extends to the whole of India.(3) Save as otherwise provided in this Act, it shall come into force on the 1st April, 2026.
In this Act, unless the context otherwise requires,—(1) “accountant” shall have the meaning assigned to it in section 515(3)(b);(2) “Additional Commissioner” means a person appointed to be an Additional Commissioner of Income-tax under section 237(1);(3) “Additional Director” means a person appointed to be an Additional Director of Income-tax under section 237(1);(4) “advance tax” means the
(1) For the purposes of this Act, “tax year” means the twelve months period of the financial year commencing on the 1st April.(2) In the case of a business or profession newly set up, or a source of income newly coming into existence in any financial year, the tax year shall be the period beginning
(1) Income-tax for any tax year shall be charged as per the provisions of this Act at the rate or rates which are enacted by a Central Act for such tax year. (2) The charge of income-tax under sub-section (1) shall be on the total income of the tax year of every person as per
(1) Subject to the provisions of this Act, the total income of any tax year of a person, who is a resident, includes all income from whatever source derived, which—(a) is received or deemed to be received in India in that year by or on behalf of the person; or(b) accrues or arises, or is
(1) For the purposes of this Act, residence of a person in India shall be determined as per this section.(2) An individual shall be resident in India in a tax year, if he––(a) is in India for a total period of one hundred and eighty-two days or more in that tax year; or(b) is in
(1) The following incomes shall be deemed to be received in the tax year:—(a) the annual accretion in that year to the balance at the credit of an employee participating in a recognised provident fund, to the extent provident in paragraph 6 of Part A of the Schedule XI;(b) the transferred balance in a recognised
(1) Where a specified person receives during the tax year any capital asset or stock-in-trade or both from a specified entity in connection with the dissolution or reconstitution of such specified entity, then the specified entity shall be deemed to have transferred such capital asset or stock-in-trade, or both, to the specified person in the
(1) Income deemed to accrue or arise in India shall be the incomes mentioned in sub-sections (2) to (10). (2) Any income accruing or arising, directly or indirectly, through or from–– (a) any asset or source of income in India; (b) any property in India; (c) any business connection in India; or (d) the transfer
If a husband and wife are governed by the community of property system (known as “COMMUNIAO DOS BENS” under the Portuguese Civil Code of 1860) in the State of Goa and the Union territories of Dadra and Nagar Haveli and Daman and Diu, then––(a) their income under any head of income shall not be assessed