New Provision
Section 1, IT Act 2025
Chapter
Chapter I — Preliminary
Effective From
1 April 2026
Statutory Text — Section 1
(1) This Act may be called the Income-tax Act, 2025. (2) It extends to the whole of India. (3) Save as otherwise provided in this Act, it shall come into force on the 1st April, 2026. Definitions. 2.
Shahi & Co. — Our Understanding
This is the foundational provision of the new law. The Income Tax Act, 2025 replaces the Income Tax Act, 1961 in its entirety, effective 1 April 2026. All tax computations, assessments, and filings from Tax Year 2026-27 onwards will be governed by this Act.
Practical Note: If you are filing an ITR for FY 2025-26 (Assessment Year 2026-27), the Income Tax Act, 1961 still applies. The new Act applies from Tax Year 2026-27 (i.e. income earned from 1 April 2026 onwards).
Shahi & Co., Chartered Accountants
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Disclaimer: This is a reproduction of Section 1 of the Income Tax Act, 2025 (No. 30 of 2025) as published in the Official Gazette of India (CG-DL-E-22082025-265620) for informational and reference purposes only. Shahi & Co., Chartered Accountants makes no warranty as to completeness or accuracy. For the official authenticated text refer to
egazette.gov.in or
incometaxindia.gov.in. This does not constitute legal or tax advice.