The Income-tax Act, 2025 has been notified by the Ministry of Law and Justice after receiving the assent of the President.
The new legislation seeks to overhaul India's direct tax regime by replacing the Income-tax Act, 1961, which has been in force for more than six decades.
According to the notification,
The Act will come into effect from April 1, 2026, and will apply to the entire country.
It was passed during the monsoon session of Parliament, reflecting the government's commitment to simplifying and updating the taxation framework in line with current economic realities.
