IT Act 1961 → 2025 / Sections 1–15
Tax rates & regimeDefinitions, previous year → tax year, charge, scope of income, deemed receipt, dividends, heads of income, 14A
Sections 1–15 of the old Income-tax Act, 1961 · new sections 1–15 under the Income-tax Act, 2025
New reference Sections 1 to 15 (preliminary, charge, scope, heads of income)
Applies to FY 2025-26 (AY 2026-27) and earlier years.
Applies from tax year 2026-27 (from 1 April 2026).
| 1961 Act | Subject | 2025 Act |
|---|---|---|
| 1 | Short title, extent and commencement | 1 |
| 2 | Definitions | 2 |
| 3 | "Previous year" defined | 3 |
| 4 | Charge of income-tax | 4 |
| 5 | Scope of total income | 5 |
| 5A | Spouses governed by Portuguese Civil Code | 10 |
| 7 | Income deemed to be received | 7(1) |
| 8 | Dividend income | 7(2) |
| 9B | Asset received by partner from firm on reconstitution | 8 |
| 14 | Heads of Income | 13 |
| 14A | Disallowance of expenditure on exempt income | 14 |
| 15 | Salaries | 15 |
| 66 | Total income | 101 |
| 110 | Tax where total income includes tax-free income | 190 |
Source: CBDT mapping of sections, Income-tax Act 1961 to Income-tax Act 2025.
The biggest conceptual change of the new Act: 'previous year' and 'assessment year' are replaced by a single 'tax year'. Most other provisions in this range are renumbered with the same substance.
The Income-tax Act, 2025 uses only 'tax year' (section 3), meaning the financial year in which income is earned. FY 2026-27 is tax year 2026-27.
Disallowance of expenditure relating to exempt income is part of section 14 of the Income-tax Act, 2025.
Section 1 of the Income-tax Act, 1961 (Short title, extent and commencement) corresponds to section 1 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
Section 2 of the Income-tax Act, 1961 (Definitions) corresponds to section 2 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
Section 3 of the Income-tax Act, 1961 ("Previous year" defined) corresponds to section 3 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
Section 4 of the Income-tax Act, 1961 (Charge of income-tax) corresponds to section 4 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
Section 5 of the Income-tax Act, 1961 (Scope of total income) corresponds to section 5 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
Section 5A of the Income-tax Act, 1961 (Spouses governed by Portuguese Civil Code) corresponds to section 10 of the Income-tax Act, 2025, which applies from 1 April 2026 (tax year 2026-27).
The biggest conceptual change of the new Act: 'previous year' and 'assessment year' are replaced by a single 'tax year'. Most other provisions in this range are renumbered with the same substance.