Bare Act-Income Tax Act 2025

MINISTRY OF LAW AND JUSTICE (Legislative Department) New Delhi, the 21st August, 2025/Shravana 30, 1947 (Saka) The following Act of Parliament received the assent of the President on the 21st August, 2025 and is hereby published for general information:— THE INCOME-TAX ACT, 2025 No. 30 of 2025 [21st August, 2025] An Act to consolidate and

The Income-tax Act, 2025 Chapter-I Preliminary Section 2: Definitions. 2. 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

The Income-tax Act, 2025 Chapter-I Preliminary Section 3: Definition of “tax year”. 3. (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

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 4: Charge of Income-tax. 4. (1) Where any Central Act enacts that income-tax shall be charged for any tax year at any rate or rates, income-tax for such tax year shall be charged at that rate or those rates in accordance with and subject to the

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 5: Scope of total income. 5. (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

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 6: Residence in India. 6. (1) For the purposes of this Act, residential status in India in a tax year of a person shall be determined as per the provisions of this section. (2) An individual shall be resident in India in a tax year, if

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 7: Income deemed to be received and dividend deemed to be income in a tax year. 7. (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

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 8: Income on receipt of capital asset or stock-in-trade by specified person from specified entity. 8. (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

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 9: Income deemed to accrue or arise in India. 9. (1) The income referred to in sub-sections (2) to (8) shall be deemed to accrue or arise in India. (2) The income accruing or arising, directly or indirectly, through or from–– (a) any asset or source

The Income-tax Act, 2025 Chapter-II Basis of Charge Section 10: Apportionment of income between spouses governed by Portuguese Civil Code. 10. 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 force in the State of Goa and the

The Income-tax Act, 2025 Chapter-III Incomes which do not form part of Total Income A.—Incomes not to be included in total income Section 11: Incomes not included in total income. 11. (1) In computing the total income of any person for a tax year under this Act, any income enumerated in Schedules II, III, IV V

The Income-tax Act, 2025 Chapter-III Incomes which do not form part of Total Income B.—Incomes not to be included in total income of political parties and electoral trusts Section 12: Incomes not included in total income of political parties and electoral trusts. 12. (1) In computing the total income of any political party or an electoral

The Income-tax Act, 2025 Chapter-IV Computation of Total Income A.—Heads of income Section 13: Heads of income. 13. Save as otherwise provided in this Act, all incomes shall, for the purposes of charge of income-tax and computation of total income, be classified under the following heads of income:— (a) Salaries; (b) Income from house property; (c)

The Income-tax Act, 2025 Chapter-IV Computation of Total Income A.—Heads of income Section 14: Income not forming part of total income and expenditure in relation to such income. 14. (1) Irrespective of anything to the contrary contained in this Act, for the purposes of computing the total income under this Chapter, no deduction shall be allowed

The Income-tax Act, 2025 Chapter-IV Computation of Total Income B.—Salaries Section 15: Salaries. 15. (1) The following income shall be chargeable to income-tax under the head “Salaries”:— (a) any salary due from an employer to an assessee in the tax year, whether paid or not; (b) any salary paid or allowed to him in the tax