New Income Tax Act 2025 notified, to replace 1961 Act from April 2026
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5 min read | Updated on August 24, 2025, 10:22 IST
SUMMARY
Income Tax Act 2025 has been notified by the Ministry of Law and Justice, Government of India, in the Official Gazette. The Act will come into effect from April 1, 2026.
Income Tax Act 2025 has been notified by the Government. | Image source: Shutterstock
What are the changes in Income Tax Act, 2025?
You can read about all the changes introduced in the Income Tax Act, 2025 in this blog that we published recently.August 22, 2025, 18:12 PM
What are the Income Tax Act 2025 FAQs?
August 22, 2025, 17:49 PM
What are the tax slabs and rates under Income Tax Act, 2025?
The income tax slab and rates provided in the Income Tax Act, 2025 are the same as those applicable currently for salaried individuals, business persons, professionals, and all other taxpayers. One major change in the Income Tax Act 2025 is that it has ended the confusion over assessment year (AY) and financial year (AY) by using the term "Tax Year".
Here's a look at the tax slab and rates mentioned in the New Income Tax Act 2025 for income up to ₹12 lakh and even more:
New tax regime rates for individuals, Hindu Undivided family and others are mentioned under Clause 202(I) of the New Income Tax Bill.
Total Income (₹) Rate of Tax 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% The following slab rates are applicable under the old tax regime:
Category Income Slab (₹) Tax Rate General Citizens Up to ₹2,50,000 Nil ₹2,50,001 – ₹5,00,000 5% ₹5,00,001 – ₹10,00,000 20% Above ₹10,00,000 30% Senior Citizens Up to ₹3,00,000 Nil (Age 60 to <80) ₹3,00,001 – ₹5,00,000 5% ₹5,00,001 – ₹10,00,000 20% Above ₹10,00,000 30% Super Senior Citizens Up to ₹5,00,000 Nil (Age 80 and above) ₹5,00,001 – ₹10,00,000 20% Above ₹10,00,000 30% August 22, 2025, 18:07 PM
When will the Income Tax Act 2025 come into effect?
The Income Tax Act 2025 will come into effect from April 1, 2026. It will replace the existing Income Tax Act, 1961.
The new Act has tried to simplify the currently existing Income Tax law.
August 22, 2025, 17:00 PM
Where can you download the full Income Tax Act 2025 PDF?
The Income Tax Act, 2025 PDF can be downloaded from the official e-gazette portal of the Government of India. You can also download the full Income Tax Act, 2025 PDF document from this link.August 22, 2025, 17:49 PM
What is the purpose of the Income Tax Act, 2025?
As per the Gazette notification, the Income Tax Act 2025 is an Act to consolidate and amend the law relating to income tax.
The Act has been enacted by the Parliament in the 76th year of the Republic of India.
August 22, 2025, 16:52 PM
Income Tax Act 2025: What the ministry said?
In the official notification, the Ministry of Law and Justice said the Income Tax Act 2025, which was passed by the Parliament, received the assent of the President on August 21, 2025.
August 22, 2025, 16:49 PM
Income tax Act 2025 is official now, gets President's assent
Income Tax Act 2025 has been notified by the Ministry of Law and Justice, Government of India, in the Official Gazette. The Act will come into effect from April 1, 2026. In this blog, we will provide updates on key changes, important rules and FAQs over the next few days.
Meanwhile, you can read our previous extensive coverage of Income Tax Bill 2025 hereAugust 22, 2025, 16:49 PM
