Income Tax Act, 2025

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.

Section 2 of Income Tax Act, 2025 : Definitions

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

Section 3 of Income Tax Act, 2025 : Definition of “tax year”.

(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

Section 4 of Income Tax Act, 2025 : Charge of income-tax.

(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

Section 5 of Income Tax Act, 2025 : Scope of total income.

(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

Section 6 of Income Tax Act, 2025 : Residence in India.

(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

Section 7 of Income Tax Act, 2025 : Income deemed to be received.

(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

Section 9 of Income Tax Act, 2025 : Income deemed to accrue or arise in India.

(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