Income Tax Forms & Section Changes

New Sections 18 Introduced in IT Act 2025

Modified 42 Substantially amended

Retained 89 Carried forward unchanged

Abolished 11 Removed / subsumed

Merged 7 Consolidated into fewer

Section-by-Section Comparison

Income Tax Act 1961 → New Income Tax Act 2025

Section (1961)	→ Section (2025)	Heading / Subject	Status	Key Changes
GENERAL & BASIC PROVISIONS
Sec 1	Clause 1	Short Title & Extent	Modified	Title changed to Income-Tax Act, 2025; extended to whole of India
Sec 2	Clause 2	Definitions	Modified	100+ new definitions added for clarity "Virtual digital asset" redefined with NFT scope "Assessment year" aligned to Apr–Mar cycle Plain language replaces archaic terminology
Sec 3	Clause 3	Previous Year	Modified	Renamed to "Tax Year"; aligns with financial year Apr 1–Mar 31
RESIDENTIAL STATUS & SCOPE OF INCOME
Sec 5	Clause 5	Scope of Total Income	Modified	Digital income sourced in India taxable even if received abroad
Sec 6	Clause 6	Residential Status	Modified	RNOR rules simplified; 2-year look-back period Deemed residency for HUF based on management & control Specific rules for NRIs with Indian digital income
HEADS OF INCOME
Sec 15–17	Clause 15–18	Salaries	Modified	Standard deduction increased to ₹75,000 Gratuity exemption limit raised to ₹25 lakh ESOPs: clearer taxability rules at exercise WFH allowance codified for remote employees
Sec 22–27	Clause 20–26	Income from House Property	Modified	Self-occupied property deduction limit removed under new regime Co-ownership rules simplified Deemed let-out applicable from 3rd property onward
Sec 28–44	Clause 27–55	Profits & Gains of Business/Profession	Modified	Presumptive taxation limits revised Digital receipts get enhanced threshold CSR expenditure now fully deductible Start-up deductions consolidated into one clause
—	Clause 67A	Virtual Digital Assets (VDA)	New	Dedicated head for crypto, NFTs, and tokenised assets 30% flat tax; no set-off of VDA losses against other income 1% TDS on transfers above ₹10,000
Sec 45–55A	Clause 67–80	Capital Gains	Modified	LTCG holding period for unlisted equities: 24 months Listed equity LTCG: ₹1.25 lakh exemption (up from ₹1 lakh) Indexation benefit removed for real estate under new regime STCG on equity funds: 20% (up from 15%)
Sec 56–59	Clause 81–86	Income from Other Sources	Modified	Angel tax (56(2)(viib)) abolished for recognised start-ups Online gaming winnings: 30% flat, no threshold Dividend income: pass-through taxation simplified
DEDUCTIONS & EXEMPTIONS
Sec 80C	Clause 123	Deductions – Investments	Modified	Limit raised to ₹2 lakh (from ₹1.5 lakh) under old regime Abolished under new tax regime (default from FY 2024-25) ULIPs, life insurance, PPF, ELSS still eligible under old regime
Sec 80D	Clause 124	Medical Insurance Premium	Modified	Senior citizen limit: ₹75,000 (up from ₹50,000) Critical illness rider now separately deductible
Sec 80CCD	Clause 126	National Pension System (NPS)	Modified	80CCD(1B) additional ₹50,000 deduction retained Employer contribution limit: 14% of salary (private sector, from 10%)
Sec 80DD / 80DDB	Clause 128 (merged)	Disability & Disease Deductions	Merged	Consolidated into single Clause 128; limits enhanced to ₹1.5 lakh
—	Clause 131A	Green Energy Investment Deduction	New	30% deduction on investment in solar/renewable assets EV purchase deduction up to ₹1.5 lakh Green bond investment exempted up to ₹50,000
Sec 80G	Clause 133	Donations to Charitable Institutions	Modified	100% deduction only for PM-CARES, PM Relief Fund Online donations via registered portals eligible Trusts must register on Income Tax Portal for donor eligibility
Sec 80GG	Absorbed in 15–18	Deduction for Rent Paid	Abolished	Subsumed under salary provisions; HRA exemption restructured
Sec 10	Clause 11	Exemptions	Modified	Agricultural income limit: ₹5 lakh (from ₹—; now threshold introduced) LTA: cash voucher scheme extended Gratuity exemption enhanced to ₹25 lakh Leave encashment: ₹25 lakh exemption limit
RETURN FILING & ASSESSMENT
Sec 139	Clause 263	Return of Income	Modified	Updated Return window: 4 years (up from 2 years) Pre-filled returns made default; mandatory verification Faceless filing made mandatory for all categories
—	Clause 263A	Taxpayer Charter (Statutory)	New	Rights and obligations of taxpayers given statutory force Includes right to appeal, refund interest, fair treatment
Sec 143	Clause 267	Assessment / Scrutiny	Modified	Faceless assessment made permanent AI-risk scoring for scrutiny selection Time limit for assessment: 18 months from end of AY
Sec 148 / 148A	Clause 274–275	Notice for Reassessment	Modified	Time limit reduced: 3 years (standard), 10 years only if escaped income ≥ ₹50 lakh Mandatory preliminary inquiry before reopening
TDS / TCS PROVISIONS
Sec 192–196D	Clause 393–430	TDS – Various Payments	Modified	Single TDS section for professional fees, commissions No TDS on dividend below ₹10,000 per company Threshold for TDS on interest: ₹50,000 for seniors Freelancers: TDS at 5% up to ₹1 cr, then 10%
Sec 194BA	Clause 408A	TDS – Online Gaming Winnings	New	30% TDS on net winnings from online gaming Platform-level TDS obligation; no minimum threshold
Sec 194-O (extended)	Clause 415A	TDS – E-Commerce & Gig Economy	New	TDS on payments to gig workers via platforms 1% on gross transaction value
PENALTIES & PROSECUTION
Sec 270A / 271	Clause 439–441	Penalty for Under-reporting	Modified	Penalty for misreporting: 200% (unchanged) Immunity: 50% penalty if paid before assessment order Crypto under-reporting: additional 50% surcharge
—	Clause 285BA	Annual Information Statement (AIS) – Expanded	New	Mandatory reporting of foreign assets in AIS Social media income & digital payments reportable AIS auto-populates ITR with consent
INTERNATIONAL TAXATION & TRANSFER PRICING
Sec 90 / 91	Clause 148–150	DTAA & Foreign Tax Credit	Modified	Principal Purpose Test (PPT) incorporated in all treaties Pillar Two (Global Minimum Tax 15%) compliance provisions Simplified foreign tax credit claim via Form 67
—	Clause 153A	Global Minimum Tax (Pillar Two)	New	OECD Pillar Two: 15% effective minimum tax for MNCs (turnover >€750 mn) IIR & UTPR provisions enacted
Sec 92–92F	Clause 155–165	Transfer Pricing	Modified	Safe Harbour rules expanded to cover digital services APA validity extended to 9 years Country-by-Country Reporting: threshold ₹5,000 cr (unchanged)
SPECIAL PROVISIONS & NEW REGIMES
Sec 115BAC	Clause 202	New Tax Regime (Default)	Modified	New regime now default for all individuals/HUF from FY 2024-25 Old regime opt-in annually (salaried) or once (business) Rebate u/s 87A: ₹60,000 for income up to ₹12 lakh No tax effectively up to ₹12 lakh (salaried: ₹12.75 lakh)
Sec 115BAB (extended)	Clause 206A	Manufacturing & Start-up Incentive	Modified	15% tax rate for new manufacturing companies extended to 2028 Deep-tech start-ups: 3-year tax holiday under DPIIT certification Sunrise sectors (semiconductors, space, EV): 10-year tax holiday
Sec 88E (STT rebate)	Abolished	STT Rebate	Abolished	STT rebate mechanism abolished; STT remains as a cost of acquisition
REFUNDS & ADVANCE TAX
Sec 234B / 234C	Clause 386–387	Interest on Advance Tax	Modified	Interest rate unchanged at 1% per month Senior citizens (non-business): advance tax waived up to ₹1 lakh TDS credit
—	Clause 244B	Instant Refund Processing	New	Automated refund within 10 days for simple returns Interest @0.5%/month if refund delayed beyond 45 days

ITR Forms 7 For return filing

New Forms 3 Introduced in FY 2026-27

Revised Forms 9 Significantly updated

TDS / Info Forms 14 Certificates & declarations

📄

ITR-1 (Sahaj)

For Individuals – Simple Income

Revised

For resident individuals with total income up to ₹50 lakh from salary, one house property, and other sources (excluding lottery/VDA). Not applicable if you are a director in a company or hold foreign assets.

Individuals Only Salary 1 House Property Interest Income

📄

ITR-2

Individuals & HUF – Capital Gains

Revised

For individuals and HUFs with income from capital gains, multiple house properties, foreign assets/income, or directorship. Does not include business or professional income.

Capital Gains HUF Foreign Assets Multiple Properties

📄

ITR-3

Business & Profession Income

Revised

For individuals and HUFs having income from business or profession (including partner's share from a firm), in addition to other heads of income.

Business Profession Partnership Balance Sheet

📄

ITR-4 (Sugam)

Presumptive Income – Simplified

Revised

For individuals, HUFs, and firms (excluding LLPs) with presumptive business income u/s 44AD (turnover ≤ ₹3 cr), 44ADA (receipts ≤ ₹75 lakh), or 44AE.

44AD 44ADA 44AE Simplified

📄

ITR-5

Firms, LLPs, AOPs, BOIs

Revised

For partnership firms, LLPs, AOPs, BOIs, co-operative societies, and other legal entities excluding companies and trusts filing under sections 139(4A/4B/4C/4D).

Partnership LLP AOP/BOI Co-op Society

📄

ITR-6

Companies (Non-Charitable)

Revised

For companies not claiming exemption under section 11 (charitable/religious trust). Includes domestic companies, foreign companies, and those under new concessional tax regimes (115BAA, 115BAB).

Corporate Tax 115BAA 115BAB MAT DTAA

📄

ITR-7

Trusts, Political Parties, NGOs

Revised

For persons including companies filing returns under sections 139(4A), 139(4B), 139(4C), 139(4D): charitable/religious trusts, political parties, research institutions, universities.

Charitable Trust 139(4A) Political Party Exempt Entities

📋

Form 16

TDS Certificate – Salary

Revised

Issued by employer to employee. Part A shows TDS deducted & deposited; Part B shows salary details, perquisites, exemptions, and net taxable salary. Mandatory issue by 15 June each year.

Salary Employer Issued Part A + Part B

📋

Form 16A

TDS Certificate – Non-Salary

Retained

Issued for TDS deducted on non-salary payments: rent, professional fees, interest, dividend, etc. Generated from TRACES portal by deductor quarterly.

Non-Salary TDS TRACES Quarterly

📋

Form 16B

TDS on Property Purchase

Revised

Issued by buyer to seller for TDS deducted u/s 194-IA on immovable property purchase ≥ ₹50 lakh. Generated on TRACES after Form 26QB payment.

194-IA Property >₹50L Form 26QB

📊

Form 26AS / AIS

Annual Information Statement

Revised

Consolidated tax statement: TDS, TCS, advance tax, self-assessment tax, refunds, foreign remittances, GST turnover, and financial transactions. AIS now includes VDA, social media income, and foreign asset data.

TDS Summary AIS Pre-fill Source Foreign Remittance

📝

Form 15G / 15H

Self-Declaration – No TDS

Revised

15G: For non-seniors with income below exemption limit to avoid TDS on interest. 15H: For senior citizens (60+). Submitted to banks/payers. Electronic submission mandatory on IT portal from FY 2026-27.

No TDS Declaration Senior Citizens Interest Income

📝

Form 26QB

TDS Challan – Property Purchase

Retained

Challan-cum-statement for TDS on property purchase u/s 194-IA. Filed by buyer within 30 days from end of the month of payment/registration.

194-IA Buyer Filed 30-Day Deadline

📝

Form 10-IEA

Old Regime Opt-In (Business Income)

New 2024-25

Replaces Form 10-IE. Filed by individuals/HUFs with business income to opt out of new default tax regime and choose old regime. Once exercised, can only switch back once.

Tax Regime Choice Business Income One-Time Switch

🌐

Form 67

Foreign Tax Credit Claim

Revised

Filed to claim credit for taxes paid in foreign countries against Indian tax liability under DTAA provisions. Simplified for FY 2026-27 with digital verification of foreign tax payment.

DTAA Foreign Tax Credit NRIs & MNCs

🌍

Form 10F

DTAA Treaty Benefit – Non-Resident

Revised

Filed by non-residents who cannot provide Tax Residency Certificate (TRC) with all required info for DTAA benefits. Now mandatory to e-file on Income Tax Portal.

Non-Resident DTAA TRC Supplement

📑

Form 3CA / 3CB / 3CD

Tax Audit Report (CA Certified)

Revised

3CA: Audit report where accounts audited under other law. 3CB: Audit report where accounts not so audited. 3CD: Statement of particulars. Required for businesses with turnover >₹1 cr (non-digital) or ₹10 cr (digital).

Tax Audit Chartered Accountant Section 44AB

✨ New Tax Regime (Default) — FY 2026-27

Income Slab	Rate	Effective Tax*
Up to ₹4,00,000	Nil	₹0
₹4,00,001 – ₹8,00,000	5%	₹20,000
₹8,00,001 – ₹12,00,000	10%	₹40,000
₹12,00,001 – ₹16,00,000	15%	₹60,000
₹16,00,001 – ₹20,00,000	20%	₹80,000
₹20,00,001 – ₹24,00,000	25%	₹1,00,000
Above ₹24,00,000	30%	As applicable

🎉 Zero tax for income up to ₹12 lakh (Rebate u/s 87A: ₹60,000) | Salaried: ₹12.75 lakh (after ₹75K std. deduction)

📜 Old Tax Regime (Opt-In) — FY 2026-27

Income Slab	Rate	Deductions
Up to ₹2,50,000	Nil	80C (₹1.5L+) · 80D · 80CCD · HRA · LTA · Home Loan Interest · Standard Deduction ₹50K etc.
₹2,50,001 – ₹5,00,000	5%
₹5,00,001 – ₹10,00,000	20%
Above ₹10,00,000	30%

ℹ️ Old regime beneficial if total deductions exceed ~₹3.75 lakh. Must opt-in via Form 10-IEA (business) or ITR (salaried).

🏢 Corporate Tax Rates — FY 2026-27

Category	Base Rate	Effective Rate (incl. surcharge+cess)
Domestic companies (turnover <₹400 cr)	25%	26.0%
Domestic companies (turnover ≥₹400 cr)	30%	31.2%
115BAA – Existing Mfg. companies	22%	25.17%
115BAB – New Mfg. companies (set up ≤2028)	15%	17.01%
Foreign companies	40%	41.6%
Sunrise sector companies (space/EV/semi)	Exempt*	10-year holiday

MAT rate: 15% on book profit | AMT for LLPs: 18.5%

📊 Surcharge & Cess Rates — FY 2026-27

Income Range (Individuals)	Surcharge
Up to ₹50 lakh	Nil
₹50 lakh – ₹1 crore	10%
₹1 crore – ₹2 crore	15%
₹2 crore – ₹5 crore	25%
Above ₹5 crore	37% → capped at 25% (new regime)

Health & Education Cess: 4% on (tax + surcharge) | Max surcharge on LTCG/STCG (equity): 15%

🎯

Zero Tax Up to ₹12 Lakh

Section 87A rebate increased to ₹60,000 under the new regime. For salaried individuals, effective zero-tax income is ₹12.75 lakh after ₹75,000 standard deduction.

Clause 202 → 87A | Effective FY 2025-26

📘

New Tax Code – Plain Language

The 622-page Income Tax Act 1961 with 298 sections replaced by a cleaner, simpler 536-clause Act with plain English. Technical jargon minimised by 40%.

Enacted 2025 | Effective FY 2026-27

💼

New Regime as Default

The new tax regime is default for all individuals and HUFs. Old regime requires explicit opt-in each year (salaried) or a one-time switch (business income holders).

Clause 202 | Form 10-IEA for business

₿

Crypto / VDA – Dedicated Clause

Virtual Digital Assets get a dedicated head (Clause 67A). 30% flat tax on gains with no set-off. 1% TDS on transfers exceeding ₹10,000. NFTs explicitly included.

New Clause 67A | TDS via Clause 408A

🌍

Global Minimum Tax (Pillar Two)

OECD Pillar Two enacted: 15% effective minimum tax for multinational groups with turnover >€750 million. IIR and UTPR rules in Clause 153A.

New Clause 153A | MNCs only

🤖

Faceless Assessment & AI Scrutiny

Faceless assessment is now permanent. AI-based risk scoring selects returns for scrutiny. Assessment time limit: 18 months from end of assessment year.

Clause 267 | CBDT AI framework

🏭

Manufacturing Incentives Extended

15% concessional rate for new manufacturing companies extended to 2028. Sunrise sectors (semiconductors, space, EVs) get 10-year tax holiday.

Clause 206A | 115BAB extended

🌱

Green Energy Deductions (New)

30% deduction on investments in solar/renewable assets. EV purchase deduction up to ₹1.5 lakh. Green bond investments exempt up to ₹50,000.

New Clause 131A | FY 2026-27 onwards

🔄

Updated Return – 4-Year Window

Taxpayers can now file updated returns within 4 years (up from 2 years) with additional tax payment. Clause 263 replaces Section 139(8A).

Clause 263 | 25%/50% additional tax

⚡

Instant Refunds – 10 Days

New Clause 244B mandates automated refund processing within 10 days for simple returns. Interest at 0.5%/month if refund delayed beyond 45 days.

New Clause 244B | Portal automation

📱

Gig Economy & Platform TDS

New TDS obligation on platforms paying gig workers (Clause 415A). 1% TDS on gross transaction value. Gig income schedule added to ITR-3 and ITR-4.

New Clause 415A | App-based workers

🚫

Angel Tax Abolished

Section 56(2)(viib) – the "angel tax" on excess share premium received by start-ups from investors – is abolished for DPIIT-recognised start-ups, boosting the start-up ecosystem.

Clause 81 | DPIIT certified start-ups

📋

Taxpayer Charter – Statutory Force

Rights and obligations of taxpayers (fair treatment, refund interest, right to appeal) now carry statutory force under new Clause 263A, not just administrative guidelines.

New Clause 263A | Enforceable rights

👴

Senior Citizen Benefits Enhanced

80D limit for seniors: ₹75,000. Advance tax waived if TDS credit exceeds ₹1 lakh (non-business). 80DD/80DDB merged and limits enhanced to ₹1.5 lakh.

Clause 124, 128 | 60+ taxpayers

🎮

Online Gaming – 30% Flat Tax

Online gaming winnings taxed at 30% flat rate with no minimum threshold. Platform-level TDS obligation under Clause 408A. Net winnings calculation prescribed.

Clause 81 + 408A | No set-off allowed

New Clauses 18 Entirely new in IT Act 2025

New Sub-Clauses 74 Granular provisions added

Effective From FY 2026-27 New Act fully operative

Replaces 298 Sec IT Act 1961 sections

Clause 67A

Virtual Digital Assets (VDA) — Dedicated Tax Head New standalone head of income for crypto, NFTs, tokens | No equivalent in IT Act 1961

New VDA

▼

Overview: Clause 67A creates the first dedicated head of income for Virtual Digital Assets in Indian tax law. Previously VDA gains were clubbed under "Income from Other Sources" (Sec 56). The new clause gives VDA a separate treatment with a flat 30% tax, strict no-set-off rule, and platform-level TDS obligations. All crypto exchanges operating in India must comply with Clause 408A for TDS.

67A(1)
Definition of VDA for Tax Purposes
Any information, code, number or token generated through cryptographic means providing a digital representation of value, including — (a) cryptocurrency; (b) non-fungible tokens (NFTs); (c) any other token of similar nature; (d) digital assets notified by Central Government. Excludes Indian currency, foreign currency, and traditional financial instruments.
Note: Central Government retains power to notify additional assets within VDA definition via official gazette — expands coverage to future tokenised instruments.
67A(2)
VDA as Separate Head of Income
Income arising from transfer, sale, exchange, or redemption of VDA shall be computed under this dedicated head and not under any other head of income. This ensures VDA income cannot be blended with business income or capital gains.
- Transfer includes sale on exchange, P2P transfer, swap, conversion
- Gift of VDA: taxable as income in hands of recipient at FMV
- Mining income: taxable at FMV on date of receipt
- Staking/yield rewards: taxable as income from VDA on receipt
67A(3)
Tax Rate — 30% Flat
Tax on VDA income shall be charged at a flat rate of 30% irrespective of the amount or the tax regime (old or new) chosen by the taxpayer. The flat rate applies on gross transfer value minus cost of acquisition only.
- No basic exemption slab benefit on VDA income
- No deduction for mining expenses, exchange fees, internet costs
- Cost of acquisition = original purchase price in INR (FIFO basis)
- Cost of acquisition of gifted VDA = FMV on date of gift
67A(4)
No Set-Off of VDA Losses
Loss from transfer of one VDA cannot be set off against:
- Income under any other head (salary, business, capital gains, other sources)
- Profit from another VDA in the same year
- Any income in any subsequent assessment year (no carry forward)
This is significantly stricter than capital loss rules. A crypto portfolio loss is a dead loss — it provides no tax benefit whatsoever.
67A(5)
Valuation & FMV Rules
In cases where VDA is transferred for inadequate consideration or where no consideration is paid, the fair market value (FMV) shall be determined as per rules prescribed by CBDT. FMV = average of highest and lowest price on recognised exchange on date of transfer. Rule notified by CBDT Exchange-reported FMV Import transactions
67A(6)
VDA Received as Gift
Where a person receives VDA as a gift: (a) aggregate FMV ≤ ₹50,000 — exempt; (b) aggregate FMV > ₹50,000 — entire FMV taxable. Gift from specified relatives always exempt. Gifted VDA from non-relatives valued on date of gift and taxed as income of recipient.
67A(7)
TDS Cross-Reference
TDS obligations on VDA transfers governed by Clause 408A (equivalent of Sec 194S). Every exchange and buyer-platform must deduct 1% TDS on every VDA transfer exceeding the threshold. Quarterly reporting via Form 26QF (new form). Clause 408A 1% TDS Form 26QF

Clause 131A

Green Energy & EV Investment Deduction Entirely new deduction — no equivalent in IT Act 1961 | Available under Old Regime only

New Green

▼

Overview: Clause 131A incentivises individual taxpayers to invest in renewable energy and clean mobility. It provides deductions for solar equipment purchases, electric vehicles, and green bonds — aligned with India's NDC targets and 2070 net-zero commitment. Available only under the old tax regime.

131A(1)
Deduction for Solar/Renewable Energy Asset Investment
Deduction of 30% of cost of solar panels, rooftop solar systems, wind energy micro-generators, bio-gas units, or any other MNRE-approved renewable energy asset installed at a residential property. Maximum deduction: ₹1,50,000 per year.
- Asset must be installed at taxpayer's own residential property
- Certificate from approved installer mandatory
- Grid-connected or standalone systems both eligible
131A(2)
Electric Vehicle Purchase Deduction
Deduction of loan interest paid on purchase of electric vehicle up to ₹1,50,000 per year. Covers two-wheelers, three-wheelers, and four-wheelers. EV must be registered in taxpayer's name and loan taken from financial institution.
- Vehicle must be FAME-II or FAME-III certified
- Loan from scheduled bank, NBFC, or recognised financial institution
- Deduction allowed from year of loan sanction to full repayment
- Cumulative cap: lifetime interest of ₹15 lakh per vehicle
This clause effectively replaces and enhances Sec 80EEB (now abolished and merged here) with higher limits and extended coverage to all EV categories.
131A(3)
Green Bond Investment Deduction
Investment in SEBI-certified green bonds issued by companies, PSUs, or government up to ₹50,000 per year is deductible. Lock-in period: 3 years minimum. SEBI Green Bond Framework PSU Green Bonds Municipal Green Bonds
131A(4)
Conditions & Restrictions
- Available only to resident individuals and HUFs
- Not available under new tax regime (Clause 202)
- 131A(1) + 131A(3) combined cannot exceed ₹1,50,000
- 131A(2) is a standalone sub-clause with separate ₹1,50,000 limit
- Assets claimed under 131A(1) not eligible for depreciation
- Transfer within 5 years: deduction reversed and taxed as income
131A(5)
Documentation Requirements
Taxpayer must maintain: (a) invoice from registered installer/dealer; (b) installation certificate from MNRE-approved body; (c) loan sanction letter from financial institution; (d) SEBI green bond certificate. Documents to be produced on demand within 30 days.

Clause 153A

Global Minimum Tax — OECD Pillar Two (GloBE Rules) India's first enactment of Pillar Two | Applies to MNCs with global turnover > €750 million

New International MNC Only

▼

Overview: Clause 153A enacts the OECD/G20 Inclusive Framework's Pillar Two Global Anti-Base Erosion (GloBE) rules into Indian law. It ensures large multinational groups pay a minimum effective tax rate of 15% on income in every jurisdiction. India adopts both the Income Inclusion Rule (IIR) and the Undertaxed Profits Rule (UTPR), plus a domestic Qualified Domestic Minimum Top-up Tax (QDMTT).

153A(1)
Applicability & Threshold
Applies to Constituent Entities (CEs) of Multinational Enterprise (MNE) Groups where the consolidated group revenue exceeds €750 million (approx. ₹6,750 crore) in at least 2 of the preceding 4 fiscal years. Includes Indian parent companies of MNEs and Indian subsidiaries of foreign MNE groups. €750 mn threshold 4-year look-back MNE Groups only
153A(2)
Income Inclusion Rule (IIR) — Top-Up Tax by Parent
Where a low-taxed Constituent Entity (CTE) pays tax below 15% ETR, the Ultimate Parent Entity (UPE) located in India must pay a top-up tax equal to the difference between 15% ETR and the actual ETR in the low-tax jurisdiction. Formula:
Top-Up Tax = (15% − Actual ETR) × GloBE Income of CTE
- GloBE Income = financial accounting income with GloBE adjustments
- Substance-based Income Exclusion (SBIE) deducted before computing top-up
- SBIE = 5% of tangible assets + 5% of payroll costs (phased down over 10 years)
153A(3)
Undertaxed Profits Rule (UTPR)
A backstop to IIR. If the parent entity is in a jurisdiction that has not enacted Pillar Two, India can collect top-up tax from Indian subsidiaries or branches of the MNE group, proportional to their share of employees and tangible assets in India. Applies only after IIR has been fully applied. Backstop mechanism Employee + asset allocation key
153A(4)
Qualified Domestic Minimum Top-Up Tax (QDMTT)
India levies its own domestic minimum tax at 15% on GloBE income of all Constituent Entities located in India. This ensures India — not the parent jurisdiction — collects the top-up tax on India-sourced income. QDMTT is creditable against the parent's IIR liability.
QDMTT effectively protects India's taxing rights and prevents revenue leakage to foreign treasuries when Indian entities are under-taxed.
153A(5)
Computation of Effective Tax Rate (ETR)
ETR = Adjusted Covered Taxes ÷ Net GloBE Income (per jurisdiction)
Adjusted Covered Taxes include corporate income tax, withholding tax, deferred tax, and CFC taxes. Excludes non-qualifying taxes, refundable tax credits, and disqualified refundable imputation taxes.
- Country-level blending applies (all entities in one country aggregated)
- Deferred tax accounting rules per GloBE Model Rules apply
- International shipping income excluded from GloBE
153A(6)
Safe Harbours & Exclusions
- De minimis exclusion: Countries with <€10 mn revenue or <€1 mn profit excluded
- Transitional CbCR Safe Harbour: Applies for FY 2024-27 if CbCR shows adequate ETR
- Simplified ETR Safe Harbour: If local ETR under QDMTT ≥ 15% — no further IIR top-up
- Excluded entities: Government entities, pension funds, international organisations, investment funds that are UPEs
153A(7)
GloBE Information Return (GIR) — Reporting
Indian MNE groups and Indian subsidiaries of foreign MNE groups must file a GloBE Information Return in prescribed Form (GIR-1) within 15 months (18 months for transition year) from the end of fiscal year. Filed on Income Tax Portal. Penalty for non-filing: ₹5 lakh per month up to ₹50 lakh. Form GIR-1 15/18 month deadline Penalty ₹5L/month

Clause 202

New Tax Regime — Default for Individuals & HUF Replaces & enhances Sec 115BAC | New default from FY 2024-25 | Revised slabs & rebate

Modified Default Regime

▼

Overview: Clause 202 consolidates and upgrades the new tax regime (previously Sec 115BAC) making it the default for all individuals and HUFs. The new regime features restructured tax slabs, an enhanced rebate of ₹60,000 making income up to ₹12 lakh effectively tax-free, and a higher standard deduction of ₹75,000. The old regime continues as an opt-in option.

202(1)
New Regime as Default
The new tax regime under Clause 202 shall be the default mode of taxation for every individual and Hindu Undivided Family for any previous year beginning on or after April 1, 2024. No action needed to opt in — taxpayers who wish to use the old regime must explicitly opt out.

202(2)

Tax Rate Schedule — New Regime

Total Income	Rate
Up to ₹4,00,000	NIL
₹4,00,001 – ₹8,00,000	5%
₹8,00,001 – ₹12,00,000	10%
₹12,00,001 – ₹16,00,000	15%
₹16,00,001 – ₹20,00,000	20%
₹20,00,001 – ₹24,00,000	25%
Above ₹24,00,000	30%

202(3)
Rebate under Clause 87A (Enhanced)
Tax rebate of ₹60,000 (or actual tax payable, whichever is lower) available if total income does not exceed ₹12,00,000. This makes income up to ₹12 lakh effectively tax-free under the new regime.
- Salaried individuals: Effective zero-tax threshold = ₹12,75,000 (after ₹75,000 standard deduction)
- Rebate not available on STCG (111A), LTCG (112A), VDA income — these are always taxable
- Surcharge not applicable where rebate fully eliminates tax
Example: Income ₹12 lakh → Tax = ₹20,500 → Rebate = ₹20,500 → Net Tax = ₹0. Income ₹12.01 lakh → No rebate → Full tax payable. Marginal relief provisions apply between ₹12L–₹12.75L.
202(4)
Standard Deduction under New Regime
Standard deduction of ₹75,000 (increased from ₹50,000) available to salaried individuals and pensioners under new regime. Family pension standard deduction: ₹25,000. These are the only salary-related deductions allowed under new regime.
202(5)
Deductions NOT Available under New Regime
The following deductions/exemptions are not available to taxpayers opting for new regime:
- 80C, 80CCC, 80CCD(1) — investments in LIC, PPF, ELSS, NPS
- 80D — medical insurance premium
- 80DD, 80DDB — disability and disease deductions
- 80E — education loan interest
- 80G — donations
- 80TTA, 80TTB — savings account interest
- HRA exemption (Clause 11(13A))
- LTA (Leave Travel Allowance)
- Section 24(b) — interest on home loan for self-occupied property
- Professional tax deduction
202(6)
Deductions ALLOWED under New Regime
- Standard deduction: ₹75,000 (salary/pension)
- 80CCD(2): Employer contribution to NPS — 14% of salary (private sector), 14% (govt from 2024)
- 80CCH: Contribution to Agniveer Corpus Fund (Agnipath scheme)
- Interest on let-out property: Deductible without ₹2 lakh cap restriction
- Clause 131A: Green energy deductions — NOT available under new regime
- Transport allowance for physically disabled employees
- Conveyance allowance in specific employment types
202(7)
Opting Out — Procedure
- Salaried individuals: Opt for old regime at time of filing ITR each year. Inform employer via declaration for TDS purposes.
- Business/profession income: File Form 10-IEA before due date of return. Switch back to new regime allowed only once in lifetime (irrevocable thereafter).
- HUF: Same rules as individuals with business income.

Clause 263A

Taxpayer Charter — Statutory Rights & Obligations First time Charter given statutory force | No equivalent existed in IT Act 1961

New Taxpayer Rights

▼

Overview: Clause 263A elevates the Taxpayer Charter (previously a non-binding administrative declaration by CBDT in 2020) to a statutory right. This is a landmark change — for the first time in Indian tax law, taxpayer rights are enforceable and violations attract departmental accountability. The Charter covers rights to fair treatment, appeals, timely refunds, and certainty.

263A(1)
Right to Fair, Courteous & Reasonable Treatment
Every taxpayer shall be treated with fairness, courtesy, and without any discrimination. The department shall presume that every taxpayer is honest unless proven otherwise. Officers must act without bias and with objective reasoning while issuing notices, conducting assessments, or collecting taxes.
263A(2)
Right to Certainty & Consistency
Taxpayer is entitled to complete, accurate, and timely information about applicable law. The department shall issue clear guidelines, circulars, and FAQs to ensure taxpayers understand their obligations. Retrospective changes in interpretation by the department without prior notice are prohibited.
263A(3)
Right to Appeal & Be Heard
Every taxpayer has the right to: (a) be heard before any adverse order; (b) file an appeal against any order within prescribed time; (c) be represented by an authorised representative (CA, advocate, tax practitioner); (d) receive speaking orders with reasons; (e) escalate grievances through the grievance redressal mechanism.
263A(4)
Right to Timely Refunds with Interest
Where a refund is due, it shall be processed: (a) within 10 days for simple/pre-verified returns (Clause 244B); (b) within 45 days in all other cases. Interest at 0.5% per month or part month is payable from the 46th day until the date of refund. This interest is automatic — no separate application required.
263A(5)
Right to Privacy & Confidentiality
All information furnished by a taxpayer shall be kept strictly confidential. The department shall not disclose any taxpayer information except: (a) as required under law; (b) to other government agencies with statutory authority; (c) under international information exchange agreements (DTAA/TIEA). Unauthorised disclosure by an officer attracts penalty under Clause 280.
263A(6)
Obligations of Taxpayer
Corresponding to these rights, taxpayers are obligated to:
- File returns honestly, accurately, and timely
- Maintain books of accounts as prescribed
- Respond to notices within stipulated time
- Cooperate during assessments and audits
- Pay tax dues on time to avoid interest and penalties
- Keep department informed of change in address/contact
263A(7)
Enforcement & Accountability
Violation of taxpayer rights by officers attracts: (a) disciplinary proceedings under service rules; (b) complaint before the Taxpayer Grievance Redressal Authority (new body under Clause 263B); (c) adverse remarks in Annual Performance Report (APR) of the officer. CBDT to publish annual compliance report on Charter enforcement.
The Charter gives taxpayers a legal basis to challenge arbitrary departmental actions — a significant shift from the purely government-favourable structure of the 1961 Act.

Clause 244B

Instant Refund Processing — 10-Day Mandate New statutory timeline for refunds | Replaces ad-hoc processing under Sec 143(1)

New Refunds

▼

Overview: Clause 244B mandates that the Income Tax Department process and issue refunds within 10 working days for eligible simple returns, and within 45 days in all other cases. This is the first time specific statutory deadlines are set for refund processing. AI-based Centralised Processing Centre (CPC) auto-processes ITRs and triggers NEFT refunds without manual intervention.

244B(1)
Instant Refund — 10-Day Processing
Returns qualifying for instant processing shall receive refund credit within 10 working days from the date of e-verification of the return. Qualifying criteria: (a) ITR-1 or ITR-2 filed; (b) pre-filled data accepted without modification; (c) no outstanding demands; (d) bank account pre-validated on IT portal; (e) AIS/26AS data matches return data.
244B(2)
Standard Processing — 45-Day Timeline
All other returns shall be processed and refunds issued within 45 days from the end of the month in which return is filed. Applicable to ITR-3 to ITR-7, complex ITR-2 with foreign assets, returns under scrutiny/limited scrutiny, and updated returns (ITR-U).
244B(3)
Interest on Delayed Refunds
Where refund is not issued within: (a) 10 working days (instant category) — interest at 0.5% per month from day 11; (b) 45 days (standard category) — interest at 0.5% per month from the 46th day. Interest is automatic and credited along with refund principal. No separate application required.
Under IT Act 1961 (Sec 244A), interest accrued only after 3 months for most refunds. The new provision is significantly more favourable to taxpayers.
244B(4)
Refund Issuance Modes
Refunds shall be issued exclusively via: (a) NEFT/RTGS to pre-validated bank account linked to PAN; (b) UPI (Unified Payments Interface) for refunds up to ₹25,000. Cheque-based refunds abolished from FY 2026-27 onwards. NEFT mandatory UPI for ≤₹25,000 No cheques
244B(5)
Exclusions from Instant Refund
Following categories not eligible for 10-day processing: (a) returns under scrutiny/survey/search; (b) returns where demand pending from prior years; (c) returns with foreign asset/income disclosures; (d) returns with VDA income; (e) returns of companies and firms; (f) updated returns (ITR-U); (g) returns with TDS mismatch above ₹5,000.
244B(6)
Refund Failure & Re-credit
Where refund fails due to incorrect bank details: (a) taxpayer notified via SMS and email within 3 days; (b) 90-day window to update bank details; (c) failed refund auto-re-credited after bank update with original interest. No fresh refund application needed.

Clause 412

TDS on Payments to Partners by Firm / LLP (Sec 194T equivalent) Fills a longstanding loophole | Partners now subject to TDS on firm income | Effective 1 Apr 2026

New Partnership

▼

Overview: Clause 412 introduces TDS on payments made by a partnership firm or LLP to its partners. Previously, partner payments (salary, interest, bonus, commission) were not subject to TDS — a significant gap that allowed partners to avoid advance tax discipline. The clause closes this loophole and brings partner income into the TDS net, effective April 1, 2026.

412(1)
Nature of Payments Covered
TDS applies to all payments by a firm or LLP to a partner in the nature of: (a) salary/remuneration; (b) interest on capital; (c) bonus; (d) commission; (e) any other remuneration by whatever name called. Covers working partners and silent partners receiving interest on capital.
412(2)
TDS Rate & Threshold
TDS rate: 10% on the aggregate payment to each partner exceeding ₹20,000 in a financial year. The 10% rate applies on the full amount (not just the amount above ₹20,000) once the threshold is crossed. 10% flat rate ₹20,000 threshold per partner Aggregate in FY
412(3)
Deduction Timing
TDS shall be deducted at the time of: (a) credit of such income to partner's capital/current account; or (b) actual payment, whichever is earlier. For book entries crediting interest quarterly, TDS applies on each credit.
412(4)
Filing & Deposit Requirements
TDS deducted must be deposited by 7th of following month (31 March deductions by 30 April). Quarterly TDS return in Form 26Q (existing form, updated). TDS certificate Form 16A to be issued to each partner within 15 days of due date of quarterly return.
412(5)
Impact on Partner's Tax Filing
Partner's TDS credit will appear in Form 26AS and AIS. Partner can claim TDS credit in ITR. Income remains taxable in partner's hands as business income (share of firm profit is still tax-exempt u/c 10(2A)). TDS at 10% is advance tax — partners pay balance/get refund at ITR stage.
Partner's share of profit (after partner's remuneration/interest) remains exempt in partner's hands as before. Only the firm's deductible payments (salary, interest) are now subject to TDS.

Clause 415A

TDS on Gig Economy — Platform/Aggregator Obligations Covers Swiggy, Ola, Uber, Upwork, Fiverr type platforms | No equivalent in IT Act 1961

New Gig Economy

▼

Overview: Clause 415A extends the e-commerce TDS framework (Section 194-O) to explicitly cover gig economy platforms and app-based aggregators. With over 7.7 million gig workers in India (growing to 23.5 million by 2030 per NITI Aayog), this clause brings a significant workforce into the tax deduction net for the first time.

415A(1)
Applicability — Covered Platforms
Every digital aggregator or platform that connects service providers with customers and makes payments/settlements to service providers is covered. Examples include: food delivery (Swiggy, Zomato), ride-hailing (Ola, Uber), freelance (Upwork, Fiverr, Toptal), home services (Urban Company), logistics (Dunzo, Shiprocket), content (YouTube, Instagram monetisation).
415A(2)
TDS Rate & Threshold
TDS at 1% on gross payment made to every gig worker/service provider. No minimum threshold — applies from the first rupee paid. Deducted at time of each weekly/bi-weekly settlement or at time of payment, whichever is earlier.
- Gross payment = full settlement before any platform fee deduction
- TDS deducted from net payment remitted to worker
- Incentive payments and tips also covered
415A(3)
Gig Worker Registration & PAN Linkage
Platforms must: (a) collect and verify PAN of every service provider; (b) link payment settlement to PAN; (c) where PAN not available — deduct TDS at 20% (Clause 446A). Platforms to maintain worker database on IT portal's API gateway. PAN mandatory for 1% rate 20% without PAN API integration with IT portal
415A(4)
Filing & Reporting
Platforms file quarterly TDS statement in Form 26Q with additional gig-worker specific Schedule GW. Annual information on all gig payments reported in Statement of Financial Transactions (SFT) Form 61A. First filing due: July 31, 2026.
415A(5)
Credit & ITR Filing by Gig Workers
TDS credit appears in gig worker's Form 26AS/AIS. Workers with income below exemption limit may claim full refund. Workers file ITR-3 (maintaining accounts) or ITR-4 (Sugam under 44ADA presumptive if receipts ≤ ₹75 lakh). Presumptive income under 44ADA: 50% of gross receipts deemed as profit.
This effectively formalises the gig economy — bringing crores of delivery partners, drivers, and freelancers into the documented income tax system for the first time.

Clause 285BA

Annual Information Statement (AIS) — Expanded Reporting Extends Sec 285BA into a comprehensive digital surveillance framework | AI-powered anomaly detection

Modified+ Data Reporting

▼

Overview: Clause 285BA dramatically expands the Annual Information Statement (AIS) framework, adding new reporting categories for VDA transactions, social media income, gig economy payments, and foreign asset disclosures. Combined with AI-based processing, the AIS now auto-populates ITR fields and flags anomalies — making under-reporting significantly harder.

285BA(1)
Expanded Reporting Entities (Specified Persons)
New entities added as mandatory SFT (Statement of Financial Transactions) filers: (a) crypto exchanges registered in India or transacting with Indian users; (b) app-based gig platforms (Clause 415A); (c) social media platforms with monetisation programmes; (d) foreign portfolio investors (FPIs); (e) authorised dealers for LRS remittances above ₹7 lakh; (f) property registrars for all registrations above ₹30 lakh.
285BA(2)
New Information Categories in AIS
AIS shall now include: (a) all VDA transactions on Indian exchanges; (b) foreign asset & income disclosures (Schedule FA in ITR); (c) gig platform payments per worker; (d) social media monetisation payments (YouTube AdSense, Meta Reels bonus, Instagram etc.); (e) import/export transactions above ₹5 lakh via banking channels; (f) international credit/debit card spends abroad above ₹2 lakh.
285BA(3)
AI-Based Anomaly Detection
CBDT's AI system shall automatically flag: (a) return filers showing significant lifestyle expenditure (property, travel, vehicles) inconsistent with declared income; (b) VDA transactions not reported in ITR; (c) foreign remittances without corresponding foreign income disclosure; (d) large cash deposits not explained by declared income. Flagged cases are auto-selected for scrutiny without manual intervention.
This marks a paradigm shift — the burden of explanation shifts to the taxpayer when AIS data doesn't match the ITR. Silence or non-response to AI-flagged cases can lead to best-judgment assessment.
285BA(4)
ITR Auto-Population from AIS
With taxpayer's consent, the following fields shall be auto-populated in ITR from AIS: salary (from Form 16), TDS credits (from 26AS), dividend income, interest income, capital gains from securities (from CDSL/NSDL), property transactions (from registrar SFT). Taxpayer may accept or modify auto-filled data — modifications require reason.
285BA(5)
Taxpayer Feedback Mechanism
Where AIS shows a transaction the taxpayer disputes: (a) online objection can be filed within 30 days; (b) SFT filer is notified and required to respond within 15 days; (c) if confirmed erroneous — AIS is corrected; (d) if confirmed correct — taxpayer must either amend return or provide explanation. Persistent disputes escalated to Assessing Officer.
285BA(6)
Penalty for Non-Reporting by Specified Persons
Failure to file SFT or filing with inaccurate information: (a) initial default: ₹500/day; (b) after notice: ₹1,000/day; (c) inaccurate reporting: ₹50,000 per transaction type; (d) crypto exchanges: penalty may extend to suspension of VASP registration. ₹500/day initial ₹1,000/day after notice VASP suspension for exchanges

Clause 206A

Manufacturing & Start-up Tax Incentives — Extended & Enhanced Extends 115BAB to 2028 | Adds deep-tech & sunrise sector holidays | DPIIT-linked

Modified Corporate

▼

Overview: Clause 206A extends and enhances the existing manufacturing and start-up incentive framework (previously under Sec 115BAB and start-up provisions). Key changes include: extension of 15% concessional rate window to March 2028, new 3-year tax holiday for deep-tech start-ups, and a 10-year holiday for sunrise sector companies in semiconductors, EVs, space, and defence.

206A(1)
15% Concessional Rate — New Manufacturing Companies (Extended)
Domestic companies incorporated on or after 1 October 2019 and commencing manufacturing before 31 March 2028 (extended from 31 March 2024) may opt for 15% tax rate instead of 22%/25%/30%. Effective tax rate including surcharge and cess: 17.01%.
- Company must not engage in any business other than manufacturing
- No inter-corporate loans, no royalty income from group companies
- MAT does not apply to these companies
- Option exercised in Form 10-IC (irrevocable)
206A(2)
Deep-Tech Start-up Tax Holiday — 3 Years
DPIIT-recognised start-ups engaged in: AI/ML, quantum computing, biotechnology, advanced semiconductors, or space technology shall receive a 3-year tax holiday (100% deduction of profits) in any 3 years out of first 10 years of incorporation.
- Minimum R&D expenditure: 15% of total expenses
- DPIIT certification renewed annually
- Turnover cap: ₹200 crore for eligibility
- No restriction on dividend distribution during holiday years
206A(3)
Sunrise Sector 10-Year Tax Holiday
Companies incorporated after 1 April 2026 in notified sunrise sectors receive a 10-year complete tax holiday. Notified sectors: (a) semiconductor fabrication; (b) advanced EV batteries; (c) satellite/space launch vehicles; (d) defence manufacturing (FDI >51%); (e) green hydrogen production; (f) pharmaceutical API manufacturing.
This is India's most generous corporate tax incentive — designed to attract semiconductor fabs (like those planned by Tata and PSMC) and compete with Singapore/Taiwan incentive regimes.
206A(4)
Conditions & Eligibility
- Company must be newly incorporated (no conversion from existing)
- No past business activity before the commencement date
- Investment threshold: ₹100 crore (deep-tech), ₹1,000 crore (sunrise sectors)
- Employment: minimum 100 full-time employees (deep-tech), 500 (sunrise)
- QDMTT under Clause 153A overrides holiday if global ETR <15% for MNE groups
206A(5)
Anti-Abuse Provisions
Incentive shall be withdrawn with interest if: (a) company transfers assets to related party within 5 years; (b) company merges with non-eligible entity; (c) declared turnover found to be underreported by ≥25%. GAAR provisions (Clause 95–101) continue to apply.

Tax Regime:

Zero tax up to ₹12 lakh | Standard deduction ₹75,000

💼 Income Details

Gross Salary / Pension (annual, before standard deduction)

₹

Standard deduction of ₹75,000 will be auto-applied

Business / Professional Income (Net Profit) (after business expenses)

₹

Income from House Property (net; use negative for loss up to ₹2L under old regime)

₹

Other Sources Income (FD interest, dividends, savings interest, etc.)

₹

STCG — Equity / Equity MF (Short-term capital gains taxed @ 20%)

₹

STCG — Other Assets (debt MF, property, gold; taxed at slab rate)

₹

LTCG — Equity / Equity MF (taxed @ 12.5% above ₹1.25 lakh exemption)

₹

LTCG — Other Assets (property, debt funds, gold; taxed @ 12.5%)

₹

VDA / Crypto Income (always taxed @ 30% flat — both regimes)

₹

Age (affects rebate and senior citizen limits)

📋 Deductions (Old Regime Only)

80C — LIC / PPF / ELSS / PF / Home Loan Principal (max ₹1,50,000)

₹

80CCD(1B) — NPS Additional Contribution (max ₹50,000)

₹

80D — Health Insurance Premium (self/family ₹25K; parents ₹25K; senior ₹50K)

₹

Section 24(b) — Home Loan Interest (Self-Occupied) (max ₹2,00,000)

₹

80E — Education Loan Interest (actual amount; no upper limit)

₹

80G — Donations (eligible amount after applicable % — 50% or 100%)

₹

80TTA / 80TTB — Savings / FD Interest (₹10K for general; ₹50K for senior citizens)

₹

Green Energy Deduction (Clause 131A) (max ₹1,50,000 solar + ₹1,50,000 EV interest)

₹

Other Deductions (80DD, 80DDB, 80EEB, 80U, professional tax, etc.)

₹

✅ Deductions Allowed in Both Regimes

80CCD(2) — Employer NPS Contribution (max 14% of basic for private sector)

₹

🧮 Tax Computation — New Regime

Gross Total Income ₹0

Less: Standard Deduction −₹0

Less: Chapter VI-A Deductions −₹0

Net Taxable Income (Slab) ₹0

Tax on Slab Income ₹0

STCG Tax — Equity @ 20% ₹0

LTCG Tax — Equity @ 12.5% (above ₹1.25L) ₹0

LTCG Tax — Other @ 12.5% ₹0

VDA Tax @ 30% ₹0

Total Tax Before Rebate ₹0

Less: Rebate u/s 87A −₹0

Tax after Rebate ₹0

Add: Surcharge ₹0

Add: Health & Education Cess (4%) ₹0

🎯 Total Tax Payable ₹0

Effective Tax Rate 0.00%

Monthly Tax (Approx.) ₹0

📊 Tax Breakdown Visual

BREAKDOWN OF TOTAL TAX

⚖️ New Regime vs Old Regime Comparison

Component	New Regime	Old Regime	Savings
Enter income details to see comparison

📄 ITR Return Forms

🗂 Other IT Forms

💳 TDS Sections

🧾 TCS Sections

Income Tax Return Forms (ITR) — Filed under Section 139 (Old Act) / Clause 263 (New IT Act 2025). All ITR forms are available on the Income Tax e-Filing Portal. Pre-filled ITRs available for all categories from FY 2026-27.

ITR Return Forms — Old Code vs New Code 2025

Filing requirements, thresholds, and due dates for FY 2026-27

Form	Old Code (1961)	New Code (2025)	Who Must File	Income Threshold / Limit	Due Date	Status
ITR-1 Sahaj	Sec 139(1)	Clause 263(1)	Resident Individual Salary/Pension 1 House Property Interest/Dividend ❌ Not for directors, foreign asset holders, or VDA income	Total income ≤ ₹50 lakhAgricultural income ≤ ₹5,000	31 Jul 2026	Revised
ITR-2	Sec 139(1)	Clause 263(1)	Individual HUF Capital Gains Multiple Properties Foreign Assets/Income Director ❌ Not if business/profession income exists	No upper limitIncludes LTCG/STCG, foreign assets, unlisted shares	31 Jul 2026	Revised
ITR-3	Sec 139(1)	Clause 263(1)	Individual HUF Business/Profession Partner in Firm Gig Workers	No upper limitRequires P&L, Balance Sheet if accounts maintained	31 Oct 2026(if audit)	Revised
ITR-4 Sugam	Sec 44AD / 44ADA / 44AE	Clause 57 / 58 / 59	Individual HUF Firm (not LLP) Presumptive Income ❌ Not for directors, foreign asset holders	44AD: Turnover ≤ ₹3 cr (digital 95%+); ≤ ₹2 cr (others) 44ADA: Gross receipts ≤ ₹75 lakh (digital 50%+); ≤ ₹50L 44AE: ≤ 10 goods carriages Total income ≤ ₹50 lakh	31 Jul 2026	Revised
ITR-5	Sec 139(1)	Clause 263(1)	Partnership Firm LLP AOP / BOI Co-op Society Artificial Juridical Person ❌ Not for companies or trusts filing ITR-7	No upper limitAudit required if turnover > ₹1 cr (non-digital) / ₹10 cr (digital)	31 Oct 2026	Revised
ITR-6	Sec 139(1)	Clause 263(1)	Domestic Company Foreign Company 115BAA / 115BAB ❌ Not for companies exempt u/s 11 (trusts)	No upper limitMandatory tax audit; MAT / AMT applicable	31 Oct 2026	Revised
ITR-7	Sec 139(4A/4B/4C/4D)	Clause 263(4A/4B/4C/4D)	Charitable Trust Religious Trust Political Party Universities Research Institutions News Agencies	As applicable to entity type12A registration mandatory for charitable exemption	31 Oct 2026	Revised
ITR-U Updated Return	Sec 139(8A)	Clause 263 (Updated Return)	All Taxpayers ❌ Not if no additional tax liability; not for reduction of loss/refund	Within 4 years from end of AY (extended from 2 years)Additional tax: 25% if within 1 yr; 50% if 1–4 yrs of AY end	Anytime within 4 yrs	Modified
ITR-V Verification	Sec 140	Clause 266	All Taxpayers Only if e-verification not done digitally	Send signed copy to CPC BengaluruWithin 30 days of filing (by post/Speed Post only)	30 days from filing	Retained

Other Income Tax Forms — Certificates, declarations, audit reports, appeal forms, and foreign transaction forms under IT Act 1961 and new IT Act 2025.

Other Income Tax Forms — Complete List

TDS certificates, declarations, audit reports, foreign remittance, appeal & compliance forms

Form	Old Code (1961)	New Code (2025)	Purpose	Filed By	Threshold / Limit	Status
TDS CERTIFICATES
Form 16 Part A + B	Sec 203	Clause 425	TDS certificate for salary income issued by employer. Part A: TDS deposited. Part B: Salary breakup, exemptions, deductions	Employer → Employee	Mandatory if TDS deductedIssue by 15 Jun of AY	Revised
Form 16A	Sec 203	Clause 425	TDS certificate for non-salary payments: interest, rent, professional fees, commission, dividends	Deductor → Deductee	Issued quarterly via TRACESWithin 15 days of due date of Q return	Retained
Form 16B	Sec 194-IA	Clause 415 (Property)	TDS certificate for TDS on immovable property purchase. Generated via TRACES after Form 26QB payment	Buyer → Seller	Property value ≥ ₹50 lakhIssue within 15 days of 26QB due date	Revised
Form 16C	Sec 194-IB	Clause 407A	TDS certificate for TDS on rent paid by individual/HUF (not covered under 194-I)	Tenant → Landlord	Rent ≥ ₹50,000/monthIssue after 26QC filing	Retained
Form 16D	Sec 194M	Clause 415B	TDS certificate for payments by individuals/HUF for contractor, professional fees, commission >₹50 lakh	Individual/HUF Payer	Total payments ≥ ₹50 lakh/year	Retained
TDS CHALLANS & RETURNS
Form 26QB	Sec 194-IA	Clause 415	Challan-cum-statement for TDS on immovable property. Buyer files and pays TDS, then downloads Form 16B for seller	Buyer of Property	Property ≥ ₹50 lakhFile & pay within 30 days from end of month of payment	Retained
Form 26QC	Sec 194-IB	Clause 407A	Challan-cum-statement for TDS on rent by individual/HUF (not under 194-I)	Individual/HUF Tenant	Rent ≥ ₹50,000/monthFile within 30 days from last month of tenancy/year end	Retained
Form 26QD	Sec 194M	Clause 415B	Challan-cum-statement for TDS on contractor/professional/commission by individuals not under tax audit	Individual/HUF Payer	Payments ≥ ₹50 lakh/yearFile within 30 days from end of month of payment	Retained
Form 24Q	Sec 192	Clause 393	Quarterly TDS return for salary payments by employer	Employer (Deductor)	All salary TDS deductorsDue: 31 Jul/31 Oct/31 Jan/31 May (Q4)	Retained
Form 26Q	Sec 200	Clause 420	Quarterly TDS return for all non-salary payments (interest, rent, professional, contractor etc.)	All Deductors (Non-salary)	All non-salary TDS deductorsDue: 31 Jul/31 Oct/31 Jan/31 May	Retained
Form 27Q	Sec 200	Clause 420	Quarterly TDS return for payments to non-residents (other than salary)	Deductor (NR payments)	Payments to non-residents / foreign companiesSame quarterly due dates	Retained
Form 27EQ	Sec 206C	Clause 446	Quarterly TCS return for all tax collected at source transactions	TCS Collector	All entities collecting TCSSame quarterly due dates	Retained
DECLARATIONS — NO TDS / EXEMPTIONS
Form 15G	Sec 197A(1)	Clause 432(1)	Self-declaration by resident non-senior taxpayer that income does not exceed basic exemption limit — no TDS to be deducted on interest, PF, NSS, dividends etc.	Individual (below 60)HUFTrust	Total income below basic exemption limit (₹2.5 lakh old / ₹4 lakh new regime)E-filing mandatory on Income Tax Portal from FY 2026-27	Revised
Form 15H	Sec 197A(1C)	Clause 432(1C)	Self-declaration by senior citizen (60+) that income does not exceed basic exemption limit — no TDS	Senior Citizen (60+)	Tax on total income is NILE-filing mandatory; new exemption limits apply	Revised
Form 13	Sec 197	Clause 431	Application for certificate of lower/nil TDS rate on specific payment	Deductee (Recipient)	Applied to Assessing OfficerValid for the AY specified in certificate	Retained
EMPLOYER / EMPLOYEE FORMS
Form 12B	Sec 192(2)	Clause 393(2)	Employee furnishes income from previous employer to current employer for TDS computation	Employee → New Employer	When changing jobs mid-yearIncludes salary, TDS by previous employer	Retained
Form 12BA	Sec 17(2) + Rule 3	Clause 18 + Rules	Statement of perquisites and profits in lieu of salary provided by employer	Employer → Employee	If perquisites value > ₹1.5 lakhAttached with Form 16 Part B	Retained
Form 10-IEA	Sec 115BAC	Clause 202	Declaration to opt out of default new tax regime and choose old tax regime — only for taxpayers with business/professional income	Individual/HUF with Business Income	One-time switch back allowedFile before due date of ITR. Replaces Form 10-IE	New (replaces 10-IE)
TAX AUDIT REPORTS
Form 3CA	Sec 44AB	Clause 56	Audit report where accounts are audited under any other law (Companies Act, Cooperative Societies Act etc.)	Chartered Accountant	Business turnover > ₹1 cr (non-digital) / ₹10 cr (digital ≥95%); Profession receipts > ₹50LDue: 30 Sep (without TP) / 31 Oct (with TP)	Revised
Form 3CB	Sec 44AB	Clause 56	Audit report where accounts are NOT audited under any other law (proprietors, partnerships etc.)	Chartered Accountant	Same limits as 3CAFiled with Form 3CD	Revised
Form 3CD	Sec 44AB	Clause 56	Statement of particulars required to be furnished along with tax audit report (3CA or 3CB). Contains 44 clauses of disclosures	Chartered Accountant	Mandatory with 3CA/3CBVDA, crypto, Pillar Two disclosures added for FY 2026-27	Revised
Form 29B	Sec 115JB	Clause 210	Report of Chartered Accountant certifying Book Profit for MAT (Minimum Alternate Tax) computation	CA (for Companies)	All companies with MAT applicabilityMAT rate: 15% of book profit	Retained
FOREIGN TRANSACTIONS & DTAA
Form 15CA	Sec 195	Clause 195 Rules	Online declaration filed before making foreign remittance. Part A/B/C/D based on remittance amount and taxability	Remitter (Indian Resident)	All foreign remittances (except specified list of 33 purposes)Filed on IT portal before remittance	Revised
Form 15CB	Sec 195(6)	Clause 195 Rules	Certificate from CA about nature of remittance and applicable tax rate. Required for taxable foreign remittances >₹5 lakh	Chartered Accountant	Remittance > ₹5 lakh (single transaction or aggregate)Filed before 15CA Part C	Retained
Form 67	Sec 90 / 91	Clause 148–150	Claim foreign tax credit (FTC) for taxes paid abroad against Indian tax liability under DTAA. Digital verification of foreign payment now allowed	Resident with Foreign IncomeNRI	Before or along with ITRMust have proof of tax paid abroad	Revised
Form 10F	Sec 90 / 90A	Clause 148 Rules	Supplementary info for DTAA benefit by non-resident if Tax Residency Certificate (TRC) doesn't contain all required details. Mandatory e-filing on IT portal	Non-ResidentForeign Company	When TRC is incompleteE-filing mandatory since 2022; renewed annually	Revised
ANNUAL INFORMATION & ADVANCE TAX
Form 26AS / AIS / TIS	Sec 203AA / 285BB	Clause 285BA (expanded)	Consolidated annual tax statement: TDS, TCS, advance tax, self-assessment, refund, SFT (financial transactions), foreign remittances, GST turnover, VDA income, social media income (new 2025)	All Taxpayers (View)	Real-time on IT portalAIS = enhanced; TIS = simplified; both auto-populate ITR	Revised
Challan 280	Sec 140A / 208	Clause 386 / 387	Payment of advance tax, self-assessment tax, and regular assessment tax	All Taxpayers	Advance tax due if estimated tax > ₹10,000Instalments: 15 Jun / 15 Sep / 15 Dec / 15 Mar	Retained
APPEALS & DISPUTE RESOLUTION
Form 35	Sec 246A	Clause 355	Appeal to Commissioner of Income Tax (Appeals) / NFAC against assessment order, demand notice, penalty order etc.	Taxpayer / Assessee	Within 30 days of service of orderMandatory pre-deposit: 20% of disputed demand (modified in 2025)	Revised
Form 36	Sec 253	Clause 360	Appeal to Income Tax Appellate Tribunal (ITAT) against CIT(A) / NFAC orders	Taxpayer / Department	Within 60 days of CIT(A) orderNo pre-deposit required at ITAT level	Retained

TDS (Tax Deducted at Source) — Sections 192–196D (IT Act 1961) mapped to new Clauses (IT Act 2025). Rates shown are for resident payees with valid PAN. Higher rate of 20% applies for invalid/missing PAN (Sec 206AA / Clause 446A).

TDS Sections — Old vs New Code, Rate & Threshold

Comprehensive listing of all TDS provisions | FY 2026-27

Section (1961)	New Clause (2025)	Nature of Payment	TDS Rate	Threshold Limit	Who Deducts	Status
SALARY & EMPLOYMENT
192	Clause 393	Salary (including arrears, bonus, gratuity above exemption)	Applicable Slab Rate	Basic exemption limit₹4 lakh (new regime) / ₹2.5 lakh (old regime)	Employer	Retained
192A	Clause 394	Premature withdrawal from Employee Provident Fund (EPF)	10%	₹50,000No TDS if Form 15G/15H submitted	EPFO / Trustees	Retained
SECURITIES, INTEREST & DIVIDENDS
193	Clause 395	Interest on securities (debentures, bonds, govt securities)	10%	₹10,000 (listed debentures) ₹5,000 (others)No threshold for govt securities held by non-residents	Payer / Company	Retained
194	Clause 396	Dividend declared/paid by domestic company (listed or unlisted)	10%	₹5,000 per shareholder per company per yearNo threshold for non-resident shareholders	Company / Mutual Fund	Retained
194A	Clause 397	Interest (other than on securities) — bank FD, FD, loans, company deposits	10%	₹50,000 (banks/PO — senior citizens 60+) ₹40,000 (banks/PO — others) ₹5,000 (other payers)No TDS if Form 15G/15H submitted	Banks / NBFCs / Companies	Modified
WINNINGS, GAMBLING & GAMES
194B	Clause 398	Winnings from lottery, crossword puzzle, card games, and other games of any sort	30%	₹10,000 per prizeNo deduction of expenditure allowed	Organiser / Platform	Retained
194BA NEW	Clause 408A	Winnings from online gaming (fantasy sports, rummy, poker, gaming apps)	30%	No threshold — on net winnings per withdrawal or at year-endPlatform computes net winnings after buy-in deduction	Online Gaming Platform	New
194BB	Clause 399	Winnings from horse races	30%	₹10,000 per race eventAccumulated winnings threshold per year	Race Club / Bookmaker	Retained
CONTRACTORS, PROFESSIONALS & COMMISSION
194C	Clause 400	Payments to contractors and sub-contractors (work contracts, advertising, transport, catering)	1% Individual/HUF 2% Others	₹30,000 (single payment) ₹1,00,000 (aggregate in a year)Transport contractors with PAN: 0%	Specified Persons / Companies	Retained
194H	Clause 406	Commission or brokerage (excluding insurance commission)	5%	₹15,000 in a financial yearIncludes sub-brokerage, referral fees	Principal / Employer	Retained
194J(a)	Clause 408(a)	Technical services, royalty (other than for software), call centre services	2%	₹30,000 in a financial year	Payer (Any Person)	Modified
194J(b)	Clause 408(b)	Professional services (doctors, lawyers, engineers, architects, CAs, CS), director fees, non-compete fees	10%	₹30,000 in a financial yearNo threshold for director fees	Payer (Any Person)	Retained
194M	Clause 415B	Payments by individual/HUF to contractors, professionals, or brokerage (not under tax audit)	5%	₹50,00,000 in a financial yearIndividual/HUF without tax audit obligation	Individual / HUF	Retained
INSURANCE, NSS & LOTTERY COMMISSION
194D	Clause 401	Insurance commission (paid to agents for procuring/renewing insurance policies)	5%	₹15,000 in a financial year	Insurance Company	Retained
194DA	Clause 402	Maturity proceeds of life insurance policy (not exempt under Section 10(10D))	5% on income component	₹1,00,000 per year (aggregate)Only on profit portion; principal not taxed	Insurance Company	Retained
194EE	Clause 404	Deposits under National Savings Scheme (NSS), Public Provident Fund withdrawals post-exemption	10%	₹2,500 per paymentNo TDS if Form 15G/H submitted	Post Office / Banks	Retained
194G	Clause 405	Commission on sale of lottery tickets (paid to agents/distributors)	5%	₹15,000 in a financial year	Lottery Organisation	Retained
RENT & IMMOVABLE PROPERTY
194-I(a)	Clause 407(a)	Rent of plant, machinery or equipment	2%	₹2,40,000 per yearCombined threshold for 194-I(a) and 194-I(b)	Any Person (not individual/HUF below audit limit)	Retained
194-I(b)	Clause 407(b)	Rent of land, building, furniture or fittings	10%	₹2,40,000 per yearIncludes hotel accommodation charges	Any Person (not individual/HUF below audit limit)	Retained
194-IA	Clause 415 (Property)	Transfer of immovable property (sale of land or building, excluding agricultural land)	1%	₹50,00,000 (sale consideration or stamp duty value, whichever higher)Filed via Form 26QB within 30 days	Buyer of Property	Retained
194-IB	Clause 407A	Rent paid by individual/HUF not covered under 194-I (personal use premises)	5%	₹50,000 per monthTDS only in last month of tenancy/year. Filed via Form 26QC	Individual / HUF Tenant	Retained
194-IC	Clause 407B	Monetary consideration under Joint Development Agreement (JDA) paid to landowner	10%	No thresholdOn any monetary payment under JDA	Developer / Builder	Retained
194LA	Clause 416	Compensation on compulsory acquisition of immovable property under any law	10%	₹2,50,000 per paymentNo TDS if exempt under Sec 10(37) / Clause 11	Govt / Authority (Acquirer)	Retained
MUTUAL FUNDS, SECURITIES & BUSINESS TRUSTS
194F	Abolished	Repurchase of units by Mutual Fund / UTI	Abolished	—Removed since FY 2020-21; gains now reported in ITR	Mutual Fund / UTI	Abolished
194K	Clause 409	Income from units of Mutual Fund, UTI (dividend distributed)	10%	₹5,000 per yearOn dividend income distributed by fund	Mutual Fund / AMC	Retained
194LBA	Clause 410	Certain income distributed by a Business Trust (REIT/InvIT) to unit holders	10% (resident) 5% (NR — interest component)	No thresholdOn interest/dividend component from REIT/InvIT	Business Trust (REIT/InvIT)	Retained
CASH WITHDRAWAL, GOODS & BENEFITS
194N	Clause 414	Cash withdrawal from bank, co-op bank, post office above threshold	2% (regular filer; >₹1 cr) 2% (non-filer; ₹20L–₹1 cr) 5% (non-filer; >₹1 cr)	Regular ITR filers: > ₹1,00,00,000 Non-filers (3 yr): > ₹20,00,000 Cumulative cash withdrawals per bank per year	Banks / Post Office	Retained
194Q	Clause 415A	Purchase of goods from a resident (turnover >₹10 cr buyer)	0.1%	₹50,00,000 per seller per yearDoes not apply if TCS under 206C(1H) already collected	Buyer (Turnover >₹10 cr)	Retained
194R	Clause 411	Benefits or perquisites to business / profession (freebies, gifts, hospitality to doctors, agents, dealers)	10%	₹20,000 per person per yearMarket value of benefit; no TDS if recipient pays tax on it	Any Person (providing benefit)	Retained
VIRTUAL DIGITAL ASSETS & E-COMMERCE
194S KEY	Clause 408A (VDA)	Transfer of Virtual Digital Assets (crypto, NFTs, tokens) to a buyer via exchange or P2P	1%	₹10,000 per year (general) ₹50,000 (specified person: individual/HUF <audit limit)Exchange deducts on every withdrawal exceeding threshold	Crypto Exchange / Buyer	Retained
194-O	Clause 415	Payments by e-commerce operator to e-commerce participant (sellers on Amazon, Flipkart etc.)	1%	₹5,00,000 per year (individual/HUF participant)0% for micro/small enterprises in Sec 44AD	E-Commerce Operator	Retained
194-O (new scope)	Clause 415A (Gig)	Payments by app/platform to gig workers (delivery, cab, freelance through aggregators)	1%	No threshold (on gross payment)Aggregators (Swiggy, Ola, Upwork etc.) deduct at source	Gig Platform / Aggregator	New (2026)
PARTNERSHIP FIRMS & PARTNERS
194T NEW	Clause 412	Payments by partnership firm to partners — salary, interest, bonus, commission, remuneration	10%	₹20,000 per partner per yearEffective from 1 Apr 2026; includes LLPs	Partnership Firm / LLP	New (2026)
SPECIAL PROVISIONS — SENIOR CITIZENS
194P	Clause 413	Tax deduction for senior citizens (75+) with only pension + interest — no return filing needed	Slab Rates	Age ≥ 75 yearsIncome only from pension from same bank and interest from same bank	Specified Bank (Pension)	Retained
PAYMENTS TO NON-RESIDENTS
194E	Clause 403	Payments to non-resident sportsmen, entertainers, or sports associations	20% + surcharge + cess	No thresholdOn any amount of participation fees, advertisement income	Any Payer	Retained
195	Clause 417	Any income (other than salary) payable to non-residents / foreign companies	Rates per DTAA / IT Act	No thresholdLower withholding possible via certificate u/s 197 / Clause 431	Any Person making payment to NR	Retained
194LB	Clause 418	Interest paid by infra debt fund to non-residents on bonds issued under Section 10(47)	5%	No threshold	Infrastructure Debt Fund	Retained
194LC	Clause 419	Interest on foreign currency borrowing / long-term bonds by Indian company from non-residents	5%	No thresholdCovers Masala Bonds, ECBs, long-term infrastructure bonds	Indian Company (Borrower)	Retained
194LD	Clause 420	Interest on government securities and rupee-denominated bonds to FPIs and Qualified Foreign Investors	5%	No thresholdConcessional rate to attract FPI investment	Govt / Company / RBI	Retained
196A	Clause 421	Income in respect of units of an offshore fund paid to non-residents	20%	No threshold	Offshore Fund	Retained
196C	Clause 422	Income from foreign currency bonds or shares of Indian companies (including GDRs) to non-residents	10%	No threshold	Indian Company	Retained
196D	Clause 423	Income of Foreign Institutional Investors (FIIs / FPIs) from securities (other than dividend/capital gains)	20%	No thresholdIncludes interest on securities held by FPIs	Custodian / Company	Retained

TCS (Tax Collected at Source) — Section 206C (IT Act 1961) mapped to new Clauses (IT Act 2025). The seller/collector adds TCS to invoice and deposits it with the government. Buyer can claim credit in their ITR via Form 26AS/AIS. Higher rate of 5% (without PAN) applies instead of normal rate in most cases.

TCS Sections — Old vs New Code, Rate & Threshold

Tax Collected at Source | Section 206C IT Act 1961 | FY 2026-27

Section (1961)	New Clause (2025)	Nature / Transaction	TCS Rate	Threshold	Collector	Buyer / Payer	Status
GOODS — FOREST, MINERALS & SCRAP
206C(1)(a)	Clause 446(1)(a)	Alcoholic liquor for human consumption	1%	No threshold	Seller	Buyer	Retained
206C(1)(b)	Clause 446(1)(b)	Tendu leaves	5%	No threshold	Forest Contractor	Buyer	Retained
206C(1)(c)	Clause 446(1)(c)	Timber obtained under forest lease	2.5%	No threshold	Forest Contractor	Buyer	Retained
206C(1)(d)	Clause 446(1)(d)	Timber obtained otherwise (other than forest lease)	2.5%	No threshold	Seller	Buyer	Retained
206C(1)(e)	Clause 446(1)(e)	Any other forest produce (other than timber / tendu leaves)	2.5%	No threshold	Seller	Buyer	Retained
206C(1)(f)	Clause 446(1)(f)	Scrap (industrial waste or residues)	1%	No threshold	Seller (Industry)	Buyer	Retained
206C(1)(g)	Clause 446(1)(g)	Minerals — coal, lignite, iron ore	1%	No threshold	Mining Company	Buyer	Retained
CONTRACTS, TOLL & PARKING
206C(1C)(i)	Clause 446(1C)(i)	Parking lots operated under government licence or contract	2%	No threshold	Concessionaire	Govt / Authority	Retained
206C(1C)(ii)	Clause 446(1C)(ii)	Toll plaza (national highways, bridges, tunnels)	2%	No threshold	Toll Operator	Govt / NHAI	Retained
206C(1C)(iii)	Clause 446(1C)(iii)	Mining and quarrying operations (excluding coal, lignite, iron ore under 206C(1)(g))	2%	No threshold	Mining Contractor	Govt / Authority	Retained
MOTOR VEHICLES
206C(1F)	Clause 446(1F)	Sale of motor vehicle (car, SUV, luxury vehicle) — per unit	1%	₹10,00,000 per vehicleOn sale value; GST excluded for TCS computation	Automobile Dealer	Buyer (Any Person)	Retained
LIBERALISED REMITTANCE SCHEME (LRS) & OVERSEAS TRAVEL
206C(1G)(i) — Education via Loan	Clause 446(1G)(i)	Remittance under LRS for education funded through educational loan from financial institution	0.5%	₹7,00,000 per yearBelow ₹7 lakh: NIL	Authorised Dealer (Bank)	Remitter	Modified
206C(1G)(ii) — Education/Medical	Clause 446(1G)(ii)	Remittance under LRS for education (own funds) or medical treatment abroad	5%	₹7,00,000 per yearBelow ₹7 lakh: NIL	Authorised Dealer (Bank)	Remitter	Modified
206C(1G)(iii) — Other LRS	Clause 446(1G)(iii)	Remittance under LRS for other purposes (investments, gifts, travel, maintenance of relatives abroad)	20%	₹7,00,000 per yearIncreased from 5% to 20% w.e.f. 1 Oct 2023. Below ₹7L: NIL	Authorised Dealer (Bank)	Remitter	Modified
206C(1I) — Overseas Tour	Clause 446(1I)	Sale of overseas tour programme packages (international holiday packages) by a tour operator	5% (PAN provided; income ≤ ₹7L) 20% (PAN provided; income > ₹7L) 20% (no PAN)	No thresholdOn full tour package price (not just profit)	Tour Operator	Any Buyer	Modified
GOODS SALE — HIGH VALUE TRANSACTIONS
206C(1H)	Clause 446(1H)	Sale of any goods (not covered by other TCS provisions) by sellers with turnover >₹10 crore	0.1%	₹50,00,000 per buyer per yearDoes not apply if buyer deducts TDS u/s 194Q	Seller (Turnover >₹10 cr)	Buyer	Retained

Important Notes: | 📌 TCS buyer can claim credit for TCS collected in their ITR via Form 26AS/AIS. | 📌 If TDS already deducted under applicable section, TCS u/s 206C(1H) does not apply. | 📌 Form 27EQ is the quarterly TCS return (due: 15 Jul / 15 Oct / 15 Jan / 15 May).