The proposed Income-tax Act, 2025 substantially reorganises and renumbers provisions of the Income-tax Act, 1961. While the core concepts remain largely similar, section numbers and chapter structures have changed significantly.
Preliminary & Basic Charging Provisions
| Income-tax Act, 1961 | Name of Section | Income-tax Act, 2025 |
|---|---|---|
| Section 1 | Short title and commencement | Section 1 |
| Section 2 | Definitions | Section 2 |
| Section 3 | Previous Year Defined | Section 3 – Tax Year |
| Section 4 | Charge of Income-tax | Section 4 |
| Section 5 | Scope of Total Income | Section 5 |
| Section 6 | Residence in India | Section 6 |
| Section 7 | Income deemed to be received | Section 7 |
| Section 9 | Income deemed to accrue or arise in India | Section 9 |
| Section 5A | Apportionment between spouses | Section 10 |
Exemptions & Trusts
| Income-tax Act, 1961 | Name of Section | Income-tax Act, 2025 |
|---|---|---|
| Section 10 | Exempt Incomes | Sections 11 & Schedules II–VII |
| Section 11 | Charitable/Religious Trust Income | Sections 350–352 |
| Section 12 | Voluntary Contributions | Sections 350–352 |
| Section 12AB | Registration of Trusts | Section 332 |
| Section 13 | Cases where exemption denied | Section 352 |
| Section 13A | Political Party Income | Section 12 |
Five Heads of Income
| Income Head | 1961 Act Sections | 2025 Act Sections |
|---|---|---|
| Salaries | Sections 15–17 | Sections 15–19 |
| House Property | Sections 22–27 | Sections 20–25 |
| Business or Profession | Sections 28–44 | Sections 26–66 |
| Capital Gains | Sections 45–55 | Sections 67–91 |
| Other Sources | Sections 56–59 | Sections 92–95 |
Clubbing, Set-off & Aggregation
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Sections 60–65 | Clubbing of Income | Sections 96–100 |
| Sections 66–69D | Aggregation/Unexplained Income | Sections 101–107 |
| Sections 70–80 | Set-off & Carry Forward | Sections 108–121 |
Deductions & Rebates
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Sections 80C–80U | Chapter VI-A Deductions | Sections 122–154 |
| Section 80C | Investment Deduction | Section 123 |
| Section 80D | Medical Insurance | Renumbered |
| Section 80CCD | Pension Contribution | Renumbered |
| Section 80G | Donations | Renumbered |
| Section 87A | Rebate | Sections 155–158 |
| Section 89 | Salary Relief | Sections 155–158 |
International Taxation & Anti-Avoidance
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Sections 90–91 | DTAA Relief | Sections 159–160 |
| Sections 92–94B | Transfer Pricing | Sections 161–177 |
| Sections 95–102 | GAAR | Sections 178–184 |
MAT, AMT & Special Tax Regimes
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Section 115BAC | New Tax Regime | Sections 199–205 |
| Section 115JB | MAT | Section 206 |
| Section 115JC | AMT | Section 206 |
Income-tax Authorities & Administration
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Sections 116 onwards | Income-tax Authorities | Sections 236–261 |
| Section 119 | CBDT Instructions | Included in Administrative Provisions |
| Section 132 | Search & Seizure | Reorganised |
| Section 133A | Survey | Reorganised |
| Faceless Assessment Provisions | Introduced by amendments | Section 532 |
Return Filing & Assessment
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Section 139 | Return of Income | Sections 262–267 |
| Section 140A | Self-assessment Tax | Reorganised |
| Section 143 | Assessment | Sections 268–301 |
| Section 144 | Best Judgment Assessment | Reorganised |
| Section 147 | Income Escaping Assessment | Reorganised |
| Section 148 | Reassessment Notice | Reorganised |
Appeals & Revision
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Section 246A | Appeals before CIT(A) | Sections 356–360 |
| Section 253 | Appeal to ITAT | Sections 361–364 |
| Section 260A | Appeal to High Court | Sections 365–368 |
| Section 263 | Revision prejudicial to revenue | Section 377 |
| Section 264 | Revision in favour of assessee | Section 378 |
TDS & TCS Mapping
| Income-tax Act, 1961 | Nature | Income-tax Act, 2025 |
|---|---|---|
| Section 192 | Salary TDS | Section 392 |
| Section 194A | Interest | Section 393 |
| Section 194C | Contractor Payments | Section 393 |
| Section 194H | Commission/Brokerage | Section 393 |
| Section 194-I | Rent | Section 393 |
| Section 194J | Professional Fees | Section 393 |
| Section 194Q | Purchase of Goods | Section 393 |
| Section 194R | Benefit/Perquisite | Section 393 |
| Section 194S | Virtual Digital Assets | Section 393 |
| Section 206C | TCS | Consolidated |
Refunds, Penalties & Prosecution
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| Section 237 onwards | Refunds | Sections 431–438 |
| Section 270A | Under-reporting Penalty | Reorganised |
| Section 271 Series | Penalties | Sections 439–498 |
| Section 276C | Wilful Tax Evasion | Reorganised |
Major Structural Changes
| Particulars | 1961 Act | 2025 Act |
|---|---|---|
| Total Sections | Around 819 | Around 536 |
| Total Chapters | 47 | 23 |
| Terminology | Previous Year & Assessment Year | Tax Year |
| Compliance Model | Traditional | Digital & Faceless |
| Drafting Style | Complex | Simplified |
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