Search Sections
Search by section number, topic, keyword, or common term. Each result shows a verified side-by-side comparison with practical impact.
52 provisions found
Each result includes verified source references
The language has been simplified but the legal effect is the same. Section 10(10D) is now Section Schedule II, Sl. No. 2. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 10(10D): Any sum received under a life insurance policy, including bonus, is exempt subject to conditions on premium limits.
Schedule II (Table: Sl. No. 2): Same exemption for life insurance proceeds. Moved to Schedule II.
Moved from Section 10 to Schedule II. Conditions unchanged.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 44AD is now Section 58(2), Table Sl. 1. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 44AD: Presumptive income at 8%/6% of turnover for eligible businesses with turnover up to Rs. 2 crore (Rs. 3 crore with digital receipts ≥ 95%).
Section 58(2), Table Sl. 1: presumptive profits of an eligible business (earlier s.44AD). Section 58 consolidates the three existing presumptive schemes — 44AD (Sl. 1), 44AE (Sl. 2) and 44ADA (Sl. 3).
44AD → 58(2) Table Sl. 1. A consolidation of existing schemes, not a new scheme. Sl. 1 rates/limits: detailed review pending.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 44ADA is now Section 58(2), Table Sl. 3. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 44ADA: 50% of gross receipts deemed profit for resident professionals in specified professions; receipts limit ₹50 lakh, or ₹75 lakh where cash receipts are ≤5% of total receipts. Conditions and exceptions apply.
Section 58(2), Table Sl. 3: same presumptive scheme for professionals — 50% deemed profit, ₹50 lakh / ₹75 lakh limit with the ≤5% cash-receipts condition, subject to the stated conditions.
44ADA → 58(2) Table Sl. 3 (not s.59). A consolidation of the existing scheme, not a new presumptive scheme.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 44AE is now Section 58(2), Table Sl. 2. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 44AE: presumptive income for the business of plying, hiring or leasing goods carriages.
Section 58(2), Table Sl. 2 of the Income-tax Act, 2025. Rates and limits: detailed review pending.
44AE → 58(2) Table Sl. 2 (part of the consolidated presumptive section).
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 87A of ITA 1961 is now Section 156 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 87A: Tax rebate — under new regime, full rebate on income up to Rs. 12 lakh (after standard deduction of Rs. 75,000). Effectively, income up to Rs. 12,75,000 tax-free under new regime.
Section 156: Rebate of income-tax in case of certain individuals. Same effect.
Renumbered from 87A to 156. Rebate amount and conditions unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 80P of ITA 1961 is now Section 149 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 80P: Deduction for income of co-operative societies from banking, cottage industries, fishing, etc.
Section 149: Same deduction for co-operative societies.
Renumbered from 80P to 149. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 115BAD of ITA 1961 is now Section 203 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 115BAD: Concessional tax regime for co-operative societies — 22% rate if exemptions/deductions foregone.
Section 203: Same regime for co-operative societies.
Renumbered from 115BAD to 203. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 194 of ITA 1961 is now Section 393 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 194: TDS on dividend at 10%. Threshold Rs. 5,000.
Section 393: TDS on dividend to residents. Same rate and threshold. (Exact s.393 table row: pending source check.)
Consolidated into Section 393. No change in rate or threshold.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 7 of ITA 1961 is now Section 7(1) of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 7: Income deemed to be received — employer's contribution to recognised PF, interest on PF above prescribed rate, contribution to approved superannuation fund beyond Rs. 1.5 lakh.
Section 7(1): Same items deemed as income received.
Renumbered from 7 to 7(1). No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 115A of ITA 1961 is now Section 207 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 115A: Special rates for non-residents/foreign companies on dividends, royalty, and fees for technical services (FTS) — 20%/10% depending on type and DTAA.
Section 207: Same special rates for foreign companies.
Renumbered from 115A to 207. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 159 of ITA 1961 is now Section 302 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 159: Where a person dies, the legal representative shall be liable for tax on income up to the date of death.
Section 302: Legal representatives — same liability.
Renumbered from 159 to 302. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 179 of ITA 1961 is now Section 323 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 179: Where tax due from a private company cannot be recovered, every director during the relevant period shall be jointly and severally liable.
Section 323: Same director liability.
Renumbered from 179 to 323. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is a material change. The legal position under Section Schedule III, Sl. No. 11 of ITA 2025 differs from Section 10(13A) of ITA 1961. Review the change carefully — it may affect your tax liability, deductions, or compliance obligations.
Section 10(13A) read with Rule 2A: HRA exemption — least of actual HRA received, rent paid minus 10% of salary, or 50%/40% of salary.
Schedule III (Table: Sl. No. 11): Same computation — least of actual HRA, excess rent over 10% of salary, or 50%/40% of salary. Metro cities expanded.
Moved from Section 10 to Schedule III. Computation unchanged but metro city list reportedly expanded from 4 to 8 cities for the 50% category.
Material change in law — different legal position, rates, conditions, or consequences.
Expanded metro city list applicable from TY 2025-26. Available only under old regime.
The language has been simplified but the legal effect is the same. Section 10(1) is now Section Schedule II, Sl. No. 1. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 10(1): Agricultural income as defined under Section 2(1A) is exempt from income tax.
Schedule II (Table: Sl. No. 1): Agricultural income exempt. Moved from Section 10 to Schedule II.
Moved from overloaded Section 10 to Schedule II. No substantive change — agricultural income remains exempt.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 10(5) is now Section Schedule III, Sl. No. 8. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 10(5): Value of travel concession or assistance received by an employee for self and family — exempt subject to conditions.
Schedule III (Table: Sl. No. 8): Same LTC/LTA exemption. Moved to Schedule III.
Moved from Section 10 to Schedule III. Conditions and limits unchanged.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 5 of ITA 1961 is now Section 5 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 5: Total income of resident includes income from all sources; non-resident only from Indian sources.
Section 5: Scope of total income — resident's global income; non-resident's Indian-source income. Same structure.
Section number retained. Substantive scope unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 15–17 is now Section 15–19. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Sections 15–17: Charging section (15), deductions from salary (16), perquisites and profits in lieu of salary (17).
Sections 15–19: Salaries (15), income from salary (16), perquisites (17), profits in lieu of salary (18), deductions from salaries (19). Exemptions moved to Schedule III.
Expanded from 3 sections to 5 for clarity. Perquisites and profits in lieu of salary now have separate sections. Standard deduction and entertainment allowance now under Section 19. Exemptions (LTA, HRA, gratuity) moved from Section 10 to Schedule III.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 22–27 of ITA 1961 is now Section 20–25 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Sections 22–27: Chargeability (22), annual value (23), deductions including standard deduction and interest (24), unrealised rent (25A), co-owners (26), deemed owner (27).
Sections 20–25: Income from house property (20), annual value (21), deductions (22), arrears/unrealised rent (23), co-owners (24), interpretation (25).
Renumbered (s.22→s.20, s.24→s.22). Standard deduction of 30% and interest deduction of Rs. 2 lakh retained. No substantive change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 28 is now Section 26. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 28: Income chargeable under the head 'Profits and gains of business or profession' — lists various items including business income, export incentives, cash assistance, etc.
Section 26: Income under head 'Profits and gains of business or profession'. Read with Section 66 for interpretation.
Renumbered from 28 to 26. Definitions separated into Section 66 for clarity.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 43B of ITA 1961 is now Section 37 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 43B: Tax, duty, cess — employer PF/ESI/gratuity — bonus/commission — interest to banks/FIs — leave encashment — all deductible only on actual payment basis.
Section 37: Certain deductions allowed on actual payment basis only. Same list of items retained.
Renumbered from 43B to 37. All items retained. No substantive change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is a material change. The legal position under Section 72 of ITA 2025 differs from Section 48 of ITA 1961. Review the change carefully — it may affect your tax liability, deductions, or compliance obligations.
Section 48: Full value of consideration minus cost of acquisition (with indexation where applicable) minus cost of improvement minus expenses of transfer.
Section 72: Mode of computation of capital gains. Indexation benefit removed for acquisitions after 23 July 2024 (per Finance Act 2024 amendment codified).
Renumbered from 48 to 72. Codifies Finance Act 2024 change: indexation no longer available for properties acquired after 23 July 2024. This is a substantive change for property transactions.
Material change in law — different legal position, rates, conditions, or consequences.
Properties acquired before 23.07.2024 retain old indexation benefit. For AY 2025-26 onwards, new rules apply.
This is only a renumbering — Section 54EC of ITA 1961 is now Section 85 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 54EC: LTCG exempt up to Rs. 50 lakh if invested in specified bonds (NHAI/REC) within 6 months of transfer.
Section 85: Capital gains not to be charged on investment in certain bonds. Rs. 50 lakh cap and 6-month timeline unchanged.
Renumbered from 54EC to 85. No substantive change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 80D of ITA 1961 is now Section 126 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 80D: Deduction for mediclaim premium — Rs. 25,000 (self/family), additional Rs. 25,000 (parents), Rs. 50,000 for senior citizens. Preventive health checkup Rs. 5,000 within limit.
Section 126: Deduction in respect of health insurance premia. Same deduction structure and limits retained.
Renumbered from 80D to 126. Limits and structure unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 80DD of ITA 1961 is now Section 127 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 80DD: Deduction for maintenance and medical treatment of dependant with disability — Rs. 75,000 (40%+ disability), Rs. 1,25,000 (severe disability 80%+).
Section 127: Deduction in respect of maintenance including medical treatment of a dependant who is a person with disability. Same limits.
Renumbered from 80DD to 127. No substantive change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 80GGC of ITA 1961 is now Section 137 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 80GGC: Deduction for contributions by any person to political parties — full amount deductible (except cash).
Section 137: Deduction in respect of contributions given by any person to political parties.
Renumbered from 80GGC to 137. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is a material change. The legal position under Section 202 of ITA 2025 differs from Section 115BAC of ITA 1961. Review the change carefully — it may affect your tax liability, deductions, or compliance obligations.
Section 115BAC: Optional concessional tax regime introduced FA 2020, made default FA 2023. Lower slab rates but most deductions/exemptions not available.
Section 202: New tax regime for individuals, Hindu undivided family and others. Tax slabs: up to 4L — Nil; 4–8L — 5%; 8–12L — 10%; 12–16L — 15%; 16–20L — 20%; 20–24L — 25%; above 24L — 30%.
Renumbered from 115BAC to 202. New regime is the default. Updated slab rates (Budget 2025-26) formally codified. Old regime requires explicit opt-in.
Material change in law — different legal position, rates, conditions, or consequences.
New regime is default from AY 2024-25 onwards. Updated slabs (4L/8L/12L) apply from AY 2026-27.
The language has been simplified but the legal effect is the same. Section 192 is now Section 392. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 192: Every employer paying salary shall deduct tax at source based on estimated annual income. Average rate of income tax computed.
Section 392: TDS on salary and accumulated balance due to an employee. Deduct monthly based on estimated annual income at slab/average rate. Includes 192A equivalent (EPF withdrawal TDS at 10% above Rs. 50,000).
Renumbered from 192 to 392. Sections 192 and 192A consolidated into Section 392. Obligation and computation unchanged.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 194A is now Section 393(1) Table Sl. 5(ii)/(iii). You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 194A (FY 2025-26): banks, co-operative banks and post office — ₹50,000 (₹1,00,000 for senior citizens); other cases — ₹10,000. Not a blanket bank exemption. Form 15G/15H: only where the prescribed nil-tax and eligibility conditions are met.
Section 393(1) Table Sl. 5(ii)/(iii) (TDS consolidated). Row checked against the current s.393 text; rates/thresholds as shown are the FY 2025-26 (1961 Act) figures.
Consolidated into s.393. The FY 2025-26 thresholds were set under the 1961 Act — not first introduced by the 2025 Act.
Language simplified or restructured for clarity. Legal effect remains the same.
The FY 2025-26 thresholds applied under the 1961 Act from 1 Apr 2025 — not a change made by the 2025 Act.
This is only a renumbering — Section 194C of ITA 1961 is now Section 393 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 194C: TDS on contractor payments — 1% (individual/HUF), 2% (others). Threshold Rs. 30,000 single / Rs. 1 lakh aggregate.
Section 393: TDS on contractor payments by designated person — 1%/2%. Thresholds Rs. 30,000/Rs. 1 lakh. Within consolidated TDS framework. (Exact s.393 table row: pending source check.)
Consolidated into Section 393. Rates (1%/2%) and thresholds (Rs. 30,000/Rs. 1 lakh) unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The compliance process has changed — timelines or procedures may differ. The substantive law remains the same, but you should update your filing procedures for AY 2026-27 onwards.
Section 143: Summary assessment (143(1)), scrutiny assessment (143(3)), best judgment (144). Notice under 143(2) for scrutiny selection.
Sections 270 (Assessment), 271 (Best judgment assessment), 273 (Faceless Assessment). Assessment procedure expanded across multiple sections.
Single section split into multiple sections (270–273). Faceless assessment given explicit statutory recognition under Section 273. Substantive assessment powers unchanged.
Compliance process, forms, or timelines changed; substantive rights/obligations unaffected.
Faceless assessment codified under Section 273. NFAC has statutory recognition under ITA 2025.
The compliance process has changed — including affected forms. The substantive law remains the same, but you should update your filing procedures for AY 2026-27 onwards.
Section 246A: Orders appealable before Commissioner of Income Tax (Appeals). 30-day time limit for filing.
Section 357: Appealable orders before Commissioner (Appeals). Also Section 356 for Joint Commissioner (Appeals). Time limits unchanged.
Renumbered from 246A to 357. Joint Commissioner (Appeals) given separate provision under Section 356. No substantive change.
Compliance process, forms, or timelines changed; substantive rights/obligations unaffected.
The compliance process has changed — including affected forms. The substantive law remains the same, but you should update your filing procedures for AY 2026-27 onwards.
Sections 92–92F: Transfer pricing provisions — arm's length price, associated enterprises, specified domestic transactions, documentation, penalty for non-compliance.
Sections 161–173 (Chapter X): ALP computation (s.161), associated enterprises (s.162), international transaction (s.163), specified domestic transaction (s.164), ALP determination (s.165), TPO reference (s.166), safe harbour (s.167), APA (s.168–169), secondary adjustment (s.170), documentation (s.171), TP report (s.172), interpretation (s.173).
Reorganised from 92-series into Sections 161–173 under Chapter X. New Forms 45–47 introduced for ALP option and certification. Substantive TP rules unchanged.
Compliance process, forms, or timelines changed; substantive rights/obligations unaffected.
This is only a renumbering — Section 95–102 of ITA 1961 is now Section 178–184 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Sections 95–102: GAAR — impermissible avoidance arrangement, consequences, rules for determination. Applicable from AY 2018-19.
Sections 178–184 (Chapter XI): GAAR applicability (s.178), impermissible avoidance arrangement (s.179), commercial substance test (s.180), consequences (s.181), connected persons (s.182), application (s.183), interpretation (s.184).
Renumbered from 95–102 to 178–184. No substantive change to GAAR framework.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 132 is now Section 247. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 132: Power of search and seizure — authorisation by DG/DIT, reasons to believe, seizure of books/assets/valuables.
Section 247: Search and seizure. Within Chapter XIV (Tax Administration, Sections 236–261). Related provisions: requisition (s.248), application of seized assets (s.250), survey (s.253).
Renumbered from 132 to 247. Powers and procedures unchanged but now within a consolidated Tax Administration chapter.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 56 is now Section 92. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 56: Income chargeable under 'Income from other sources' — dividends, lottery, gifts, interest on securities, hire of machinery, etc.
Section 92: Income from other sources — same items listed. More structured enumeration.
Renumbered from 56 to 92. Items reorganised into structured sub-clauses. No substantive change.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 10(16) of ITA 1961 is now Section Schedule II, Sl. No. 9 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 10(16): Scholarships granted to meet the cost of education are exempt.
Schedule II (Table: Sl. No. 9): Scholarships exempt. Moved to Schedule II.
Moved from Section 10 to Schedule II. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 10(37) of ITA 1961 is now Section Schedule III, Sl. No. 18 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 10(37): Capital gains arising from compulsory acquisition of urban agricultural land exempt.
Schedule III (Table: Sl. No. 18): Same exemption. Moved to Schedule III.
Moved from Section 10 to Schedule III. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 11–13 is now Section 333–355. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Sections 11–13: Income from property held for charitable or religious purposes — exempt if applied to such purposes. Conditions under Section 12A, registration under 12AA/12AB, restrictions under Section 13.
Sections 333–355 (Chapter XVII): Comprehensive NPO taxation framework. Registration (s.332), application of income (s.336–342), restrictions (s.346–353), interpretation (s.355).
Sections 11–13 reorganised into Chapter XVII (Sections 332–355). NPO registration, accumulation, investment restrictions, and taxation all consolidated in one chapter. No material change in substance.
Language simplified or restructured for clarity. Legal effect remains the same.
The language has been simplified but the legal effect is the same. Section 29–31 is now Section 27–28. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Sections 29–31: Manner of computing PGBP income (s.29), deductions for rent, rates, taxes, repairs and insurance for buildings (s.30), repairs/insurance of machinery (s.31).
Sections 27–28: Consolidated computation provisions.
Sections 29–31 consolidated into Sections 27–28. No substantive change.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 37 of ITA 1961 is now Section 34 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 37(1): Any expenditure laid out wholly and exclusively for the purpose of business or profession, not being capital expenditure or personal expenditure, shall be allowed as deduction.
Section 34: General deduction for business expenditure. Same 'wholly and exclusively' test.
Renumbered from 37 to 34. No change in the general deduction principle.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 40A is now Section 29, 32, 36. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 40A: Cash payments exceeding Rs. 10,000 disallowed (40A(3)), excessive or unreasonable expenditure (40A(2)), provisions for unapproved gratuity/superannuation (40A(7/9)).
Distributed across Sections 29, 32, and 36. Cash payment disallowance (Rs. 10,000 limit) retained.
Section 40A split across multiple sections. Rs. 10,000 cash payment limit unchanged.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 80GG of ITA 1961 is now Section 134 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 80GG: Deduction for rent paid by individuals not receiving HRA — least of Rs. 5,000/month, 25% of adjusted total income, or excess rent over 10% of total income.
Section 134: Same deduction for rent paid.
Renumbered from 80GG to 134. No change in computation.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 115JB is now Section 206. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 115JB: MAT at 15% of book profit for companies where tax payable under normal provisions is less than 15% of book profit. MAT credit carry forward for 15 years.
Section 206: MAT/AMT provisions consolidated. Same 15% rate and 15-year credit carry forward.
Sections 115JB, 115JC, 115JD, 115JE, 115JEE, 115JF consolidated into Section 206. No substantive change.
Language simplified or restructured for clarity. Legal effect remains the same.
This is only a renumbering — Section 115BAA of ITA 1961 is now Section 200 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 115BAA: Domestic companies can opt for 22% tax rate (effective ~25.17% with surcharge/cess) — forgo exemptions/deductions.
Section 200: Same 22% regime for domestic companies.
Renumbered from 115BAA to 200. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 115BBE of ITA 1961 is now Section 195 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 115BBE: Income referred to in Sections 68, 69, 69A, 69B, 69C, 69D taxed at 60% (plus surcharge 25% and cess) — effective rate ~78.2%.
Section 195: Same 60% tax rate on unexplained income.
Renumbered from 115BBE to 195. Harsh rate of 60% unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is a material change. The legal position under Section 393 of ITA 2025 differs from Section 194T (new in FA 2025) of ITA 1961. Review the change carefully — it may affect your tax liability, deductions, or compliance obligations.
Section 194T (inserted by Finance Act 2025): TDS on salary, remuneration, commission, bonus, interest to partners exceeding Rs. 20,000.
Section 393: TDS on payments to partners. New provision. (Exact s.393 table row: pending source check.)
New TDS provision — payments to partners now subject to TDS. Rs. 20,000 threshold.
Material change in law — different legal position, rates, conditions, or consequences.
New provision effective from 1 April 2025. Partners now face TDS on remuneration/interest.
This is only a renumbering — Section 211 of ITA 1961 is now Section 408 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 211: Advance tax payable in 4 instalments — 15 June (15%), 15 September (45%), 15 December (75%), 15 March (100%).
Section 408: Same quarterly instalment schedule.
Renumbered from 211 to 408. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 131 of ITA 1961 is now Section 246 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 131: Income tax authorities have powers of a civil court for discovery, inspection, enforcing attendance, compelling production of books.
Section 246: Same powers.
Renumbered from 131 to 246. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
This is only a renumbering — Section 269ST of ITA 1961 is now Section 186 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 269ST: No person shall receive Rs. 2 lakh or more in aggregate from a person in a day, or in respect of a single transaction, or related transactions, otherwise than by account payee cheque/draft/electronic transfer.
Section 186: Same Rs. 2 lakh cash receipt restriction.
Renumbered from 269ST to 186. No change.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.
The language has been simplified but the legal effect is the same. Section 144B is now Section 273. You do not need to change your tax planning or compliance approach. Update section references in new filings.
Section 144B: Faceless assessment scheme — all communication electronic, no personal appearance, random allocation. Managed by NFAC.
Section 273: Faceless assessment. Given explicit statutory recognition.
Renumbered from 144B to 273. Faceless assessment now has explicit statutory backing.
Language simplified or restructured for clarity. Legal effect remains the same.
Transition issue — whether ITA 1961 or ITA 2025 applies depends on the assessment year, transaction date, or proceeding status. Verify which law governs your specific situation.
No equivalent in ITA 1961. This is a new provision.
Section 536: Savings clause — actions taken, proceedings initiated, rights accrued under ITA 1961 continue to be valid. ITA 2025 does not invalidate past actions.
New provision ensuring continuity. All past proceedings, assessments, and actions under ITA 1961 remain valid despite repeal.
Applicability depends on AY, TY, proceeding date, or transaction date. Verify carefully.
Critical: Section 536 ensures that all proceedings, rights, and obligations under ITA 1961 are preserved despite the repeal. Past notices, assessments, and appeals remain valid.
This is only a renumbering — Section 14 of ITA 1961 is now Section 13 of ITA 2025. The legal position is unchanged. Existing judicial precedents continue to apply. No action required beyond updating section references in filings from AY 2026-27 onwards.
Section 14: Income of a person shall be computed under five heads — Salary, House Property, PGBP, Capital Gains, Other Sources.
Section 13: Same five heads of income retained.
Renumbered from 14 to 13. Five heads of income unchanged.
Only renumbering; substantive law unchanged. Existing judicial precedents continue to apply.