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India: The Income-tax Act, 2025 came into force on 1 April 2026, replacing the Income-tax Act, 1961

A change recorded in WONE Global’s guide to India, under tax and reporting.

WONE Global's guide to India records these changes under tax and reporting. Each statement below has been checked against the source it links to.

  1. The Income-tax Act, 2025 came into force on 1 April 2026, replacing the Income-tax Act, 1961.

    Central tax. The Act received presidential assent on 21 August 2025.

    Income Tax Department, Central Board of Direct Taxes · Press release: Income-tax Act, 2025 comes into force from 01 April 2026 ↗ Checked against an official source · Not yet professionally reviewed · checked 18 October 2026

  2. The Central Board of Direct Taxes notified the Income-tax Rules, 2026 and new forms on 20 March 2026 to operationalise the Income-tax Act, 2025.

    Central tax.

    Income Tax Department, Central Board of Direct Taxes · Press release: Income-tax Act, 2025 comes into force from 01 April 2026 ↗ Checked against an official source · Not yet professionally reviewed · checked 18 October 2026

  3. From 1 April 2026 the minimum alternate tax rate is 14%, and for companies that remain in the older regime it operates as a final tax with no new credit accruing.

    Concessional 9% rate continues for eligible IFSC units. Central tax.

    PwC Worldwide Tax Summaries · India – Corporate – Taxes on corporate income ↗ Checked against a secondary source · Not yet professionally reviewed · checked 18 October 2026

  4. Under section 6 of the Income-tax Act, 2025 a company is resident in India if it is an Indian company or its place of effective management in the year is in India.

    Central tax.

    Income Tax Department · Income-tax Act, 2025 – Section 6: Residence in India ↗ Checked against an official source · Not yet professionally reviewed · checked 18 October 2026

  5. The Income-tax Act, 2025 replaces the previous year and assessment year with a single tax year and applies from tax year 2026/27, while the 1961 Act continues to govern assessments for earlier years and carried-forward losses, unabsorbed depreciation and tax credits are preserved.

    Central tax.

    PwC Worldwide Tax Summaries · India – Corporate – Significant developments ↗ Checked against a secondary source · Not yet professionally reviewed · checked 18 October 2026

This is a summary of the rule as published, not advice on how it applies to you. The WONE Global Partner for this service in India can advise on that.