Income Tax for Startups 2026-27 — Section 80-IAC, ESOP Taxation & Key Provisions Under the Income Tax Act 2025 Quick Answer: DPIIT-recognised startups can claim a 100% profit deduction under Section 80-IAC for 3 consecutive years out of the first 10 years from incorporation (old regime only). Angel tax under Section 56(2)(viib) is abolished under […]

Corporate Tax Rates India 2026-27 — Companies, LLPs, MAT & AMT Under the Income Tax Act 2025 Quick Answer: For AY 2026-27 under the Income Tax Act 2025, domestic companies pay tax at 22% (Section 115BAA, effective 25.17%), 15% (Section 115BAB for new manufacturing, effective 17.16%), 25% (turnover up to Rs 400 crore), or 30% […]

NRI Taxation in India 2026-27 — Residential Status, DTAA & Tax Planning Guide Quick Answer Under the Income Tax Act 2025, NRIs are taxed only on Indian-source income — salary earned in India, rental income, capital gains on Indian assets, NRO interest, and Indian dividends. Residential status is determined by the 182-day rule (or 60-day […]

Faceless Assessment & Appeals Under Income Tax Act 2025 — Complete Procedure Guide Featured Answer: The Income Tax Act 2025 codifies faceless assessment and appeals as the statutory default for income tax proceedings in India. All scrutiny assessments and first appeals (before CIT(A)) are conducted electronically through the National Faceless Assessment Centre (NFAC), with random […]

Income Tax Penalties, Interest & Prosecution Under Income Tax Act 2025 Quick Answer The Income Tax Act 2025 imposes three categories of consequences for non-compliance: interest (1% per month under Sections 234A/234B/234C equivalents), penalties (₹1,000-₹5,000 late fee, 50% for under-reporting, 200% for misreporting income), and prosecution (3 months to 7 years imprisonment for tax evasion). […]

Income Tax Appeals — CIT(A), ITAT, High Court & Supreme Court Procedure Quick Answer The income tax appeal hierarchy under the 2025 Act runs: AO → CIT(A)/NFAC → ITAT → High Court → Supreme Court. First appeal to CIT(A) must be filed within 30 days (Form 35, fee ₹250-₹1,000). ITAT appeal within 60 days (Form […]

Income Tax Assessment Types Under 2025 Act — Scrutiny, Best Judgment & Reassessment Quick Answer The Income Tax Act 2025 prescribes seven types of assessment: self-assessment (taxpayer computes own tax), summary assessment (CPC processing under Section 143(1)), scrutiny assessment (detailed examination, now faceless by default), best judgment assessment (non-cooperation cases), income escaping assessment (reassessment within […]

Updated Return Under Section 139(8A) — Filing Guide, Additional Tax & Eligibility Quick Answer Section 139(8A) of the Income Tax Act 2025 allows any taxpayer to file an updated return (ITR-U) within 24 months from the end of the relevant assessment year to declare omitted income. Additional tax of 25% (within 12 months) or 50% […]

New ITR Forms Under Income Tax Act 2025 — Old vs New Form Numbers & Changes Quick Answer The Income Tax Act 2025 retains the seven ITR forms (ITR-1 through ITR-7) but updates their internal structure to reflect new section numbers and introduces enhanced schedules. Key additions include Schedule VDA for cryptocurrency/virtual digital assets (mandatory […]

ITR Filing 2026-27 — Due Dates, Forms, Procedure & E-Filing Guide Quick Answer For AY 2026-27 (FY 2025-26), the ITR filing due date is 31 July 2026 for individuals and non-audit cases, 31 October 2026 for audit cases, and 30 November 2026 for transfer pricing cases. Belated/revised returns can be filed until 31 December 2026. […]