Income-tax Act, 2025: draft rules out for consultation
Asked by UPSCPrelims 20251 PYQ
UPSC has already asked about this. Read the story with these questions in mind.
What happened
- CBDT sought inputs on the draft Income-tax Rules and Forms. The Income-tax Act, 2025, which got Presidential assent in August 2025, takes effect on 1 April 2026 [PIB].
Background
- The new Act replaces the Income-tax Act, 1961 with simpler language and fewer sections.
Why it matters
- Simpler law should mean fewer disputes, but only if the rules stay clear.
How to use this in Mains
- As per PIB (2026-02-08): CBDT sought inputs on the draft Income-tax Rules and Forms. The Income-tax Act, 2025, which got Presidential assent in August 2025, takes effect on 1 April 2026.
- Simpler law should mean fewer disputes, but only if the rules stay clear.
Quotable data pointThe Income-tax Act, 2025, which got Presidential assent in August 2025, takes effect on 1 April 2026.
PIB: Finance: Draft I-T Rules, 8 Feb 2026
Exam angle
UPSC
Prelims: Income-tax Act 2025.
Practice MCQs
Original practice questions (not PYQs).
Practice · UPSC
New Act effective from
Answer (b) & explanation
PIB.
Practice · UPSC
It replaces the Act of
Answer (b) & explanation
PIB.
Practice · UPSC
Assent received
Answer (b) & explanation
PIB.
Go deeper
Official source: PIB: Finance: Draft I-T Rules, 8 Feb 2026
facts from cited sources only; faculty review pending