Exemption from taxation for transfers to fund management entities following fund relocation, subject to continuity of shareholding.
Exemption from taxation applies where movable property consisting of shares, units or interests in the resultant fund is received by the fund management entity in lieu of shares, units or interests held by the investment manager entity in the original fund pursuant to relocation, provided that not less than ninety per cent of shares or units or interest in the fund management entity of the resultant fund are held by the same persons in the same proportion as in the investment manager entity of the original fund, and not less than ninety per cent of the aggregate of shares or units or interest in the investment manager entity of the original fund was so held.

Exemption for non-resident derivative income restricted to transactions with IFSC offshore banking units and not through permanent establishment.
Rule 21AK limits the exemption for income of non-residents from transfer or distribution of non-deliverable forwards, offshore derivative instruments and over-the-counter derivatives to transactions entered into with an IFSC offshore banking unit holding a valid registration certificate and not entered into through or on behalf of the non-resident's permanent establishment. Concurrently, Rule 114AAB defines "specified fund" as AIFs registered as Category I or II or funds regulated under IFSC fund management regulations located in an IFSC, and reporting forms are revised to require certification and specified annexure details for claiming deductions under the relevant provision.

Exemption from return filing limited to registered Category I/II investment funds regulated under AIF or IFSC fund management rules.
Amendment replaces the definition of investment fund for the exemption under section 139(1), specifying that qualifying funds must be established in India as a trust, company, limited liability partnership or body corporate, hold registration as Category I or Category II Alternative Investment Funds, and be regulated under the Alternative Investment Fund regulations or Fund Management regulations under the International Financial Services Centres framework.

Exemption from specified income: Yamuna Expressway Industrial Development Authority notified as exempt subject to conditions and retrospective application.
Notification under clause (46) of section 10 notifies Yamuna Expressway Industrial Development Authority as exempt in respect of specified incomes: state government grants; proceeds from disposal of land, buildings and other properties; rents, fees and other charges from such disposals; interest on bank deposits; and interest/penalties on deferred payments by allottees. The exemption is conditional on non engagement in commercial activity, unchanged activities and income nature across financial years, and filing returns per clause (g) of sub section (4C) of section 139. The notification is retrospective for earlier financial years.

Jurisdiction of income-tax authorities revised to align investigative headquarters with specified central commissionerates.
Amendment substitutes a row in Schedule-I of Notification No.70/2014 to designate the Director General of Income-tax (Investigation), Bengaluru as the investigative headquarters and to specify the Principal Commissioner/Commissioner of Income-tax (Central) postings for Bengaluru and Panaji; effected under section 120 and coming into force from the announced effective date.

National Savings Monthly Income Account limits updated: paragraph 4(3) amounts replaced with nine lakh and fifteen lakh.
The amendment substitutes the amounts in paragraph 4(3) of the National Savings (Monthly Income Account) Scheme, 2019: "four lakh fifty thousand" is replaced by "nine lakh" and "nine lakh" is replaced by "fifteen lakh", thereby modifying the numeric limits specified in that provision.

Arm's length price tolerance applies to trading and other cases; actual transaction price may be treated as arm's length for assessment.
The Central Government notifies that where the variation between the arm's length price under section 92C and the actual transaction price does not exceed prescribed tolerance limits for assessment year 2023 2024, the actual price shall be deemed the arm's length price. Wholesale trading is defined by two conditions: purchase cost of finished goods being eighty per cent or more of total cost, and average monthly closing inventory being ten per cent or less of sales; transactions meeting the prescribed variation thresholds are treated as at arm's length.

Charitable institution registration procedures updated with revised forms, codes and provisional approval timing.
Amendments revise procedural requirements and form content for registration and approval of charitable, religious, educational institutions and hospitals under the Income-tax Rules. Rules 2C, 11AA and 17A are modified to adjust cross references and add sub clause items, while Appendix II forms (10A, 10AB, 10AC, 10AD, 10B, 10BB) receive updated declaration text, new application codes, added "Nature of activities" rows, and revised annexure reporting. Provisional approval for specified applications is made effective from the assessment year corresponding to the year of application.

Research institution approval under section 35(1)(iii) grants tax deduction eligibility for qualifying social science research activities.
Approval is granted to M/s Patanjali Yog Peeth Nyas for its University of Patanjali, Haridwar, as a University, College or Other Institution for Social Science or Statistical Research for purposes of clause (iii) of sub section (1) of section 35 of the Income tax Act, read with the Income tax Rules; the approval is effective from Gazette publication with retrospective application to the previous year, enabling eligible research expenditure to receive the prescribed tax treatment subject to applicable rules and compliance.

New tax regime option requires Form 10 IEA for electronic exercise or withdrawal and limits depreciation.
Rules restrict exemption entitlement for employees opting into the new tax regime and exclude voucher provided free food concessions for such employees. Depreciation for specified taxpayers under the regime is capped at forty percent of the written down value with transitional WDV increase where certain prior depreciation was not fully allowed. A new rule mandates electronic filing of Form No. 10 IEA to exercise or withdraw the option into the regime, requires digital signature or an electronic verification code, and directs systems authorities to specify procedure, data standards and security measures.

Designation of Special Courts for tax and black money offences provides specified district-wise trial jurisdiction in Jharkhand.
Designation of Special Courts under section 280A of the Income-tax Act and section 84 of the Black Money Act assigns three Special Courts (Economic Offences) at Ranchi, Jamshedpur and Dhanbad to exercise district-wise trial jurisdiction over specified districts in Jharkhand, concentrating prosecution and trial of offences under those statutes in the designated courts.

Subordination of income-tax officers: appeals and senior officers expressly made subordinate to local Chief Commissioners and reporting superiors.
The notification amends the subordination framework by making Joint and Additional Commissioners of Income-tax (Appeals) subordinate to Chief Commissioners within their jurisdiction and by specifying that Additional Directors, Additional Commissioners, Joint Directors and Joint Commissioners of Income-tax are subordinate to the Directors or Commissioners within whose jurisdiction they operate or to the authority under whom they are appointed and to any authority to whom their superior is subordinate; it further clarifies that nothing compels a particular assessment or interferes with the discretion of appellate commissioners.

E-Appeals Scheme implementation: designated income-tax authorities authorised to conduct electronic appeal proceedings, subject to statutory exclusions.
The Board directs specified income-tax authorities to exercise powers and perform functions to facilitate electronic appeal proceedings under the e-Appeals Scheme, 2023, implementing the Scheme made under the statute and published by notification; applicability is to appeals covered by the statutory appeal provision subject to listed exclusions, with designated authorities and headquarters set out in an annexed Schedule and directions effective from Gazette publication.

Cost Inflation Index update: new index entry for the financial year, applicable from the stated year for assessment calculations.
Amendment inserts a new Cost Inflation Index entry for financial year 2023-24, to be used in indexation for capital gains computation, made under the Explanation to section 48 and effective from the commencement of the financial year, applying to the corresponding assessment year and subsequent assessment years.

Majority decision rule for advance rulings: tie resolved by nominated third member, ruling issued after hearing.
The Board shall pronounce an advance ruling after considering responses and, if requested, after providing an opportunity of being heard through video conferencing; a copy of the ruling must be sent to the applicant and the authority to whom the reference was made. If Members differ in opinion on any point, those points are to be referred to the Principal Chief Commissioner (International Taxation) for nomination of one Member from another Board, and the points shall be decided according to the opinion of the majority of Members.

Signature and submission rules for advance ruling applications now require authorised signatories and registered e-mail filing.
The Income-tax (Ninth Amendment) Rules, 2023 substitute rule 44E(2) to require that applications, verifications, annexures and accompanying documents for advance rulings be signed or digitally signed by prescribed authorised persons for each applicant type, permit signing by an authorised representative holding a valid power of attorney (to be attached), and require furnishing through the registered e-mail address. The amendment replaces "Authority" with "Board" in rule 44F and substitutes Forms 34C-34EA with standardized application forms and notes, specifying required content, annexures and fee proof.

Specified pension fund exemption: eligible Indian investments qualify for tax exemption subject to strict compliance conditions.
The Central Government designates 2743298 Ontario Limited as the specified person under Explanation 1 to clause (23FE) of section 10 of the Income tax Act for eligible investments in India up to 31 March 2030, subject to conditions: timely filing of returns, Form 10BBC certification, quarterly Form 10BBB reporting, segmented accounts, regulation under Ontario/Canadian law, administration of assets for statutory pension obligations, exclusive use of earnings for beneficiaries, prohibition on borrowings for investments in India, and no day to day participation in investee operations.

Strategic disinvestment share receipt covered under rule 11UAC, altering tax treatment for purchasers effective assessment year 2023-24.
Rule 11UAC is amended by substituting clause (4) to specify that movable property consisting of equity shares of a public sector company or a company received by a person from a public sector company or the Central or any State Government under strategic disinvestment falls within the rule's scope, with "strategic disinvestment" having the meaning assigned in the Explanation to clause (d) of sub-section (1) of section 72A; the amendment is effective from 1 April 2023 and applies to assessment year 2023-2024 onward.

Provisional approval for charitable donation deduction effective from assessment year tied to the year the application is filed.
The Income tax (7th Amendment) Rules, 2023 substitute the relevant sub rule to provide that where an application for provisional approval for charitable donation deduction is made under the proviso to the deduction provision, the provisional approval shall be effective from the assessment year relevant to the previous year in which the application is made, and the rules come into force on publication in the Official Gazette.

E-appeals Scheme enables electronic appellate processing and video hearings with digital service and authenticated orders.
The e-Appeals Scheme, 2023 establishes an electronic appellate procedure under which the JCIT (Appeals) disposes of appeals through a designated portal and Mobile App, using defined concepts such as registered account, registered e-mail and digital signature. It mandates random allocation of cases via an automated allocation system; prescribes electronic service, response timelines, admission of additional grounds and evidence, and procedures for notices, hearings by video conferencing, penalty initiation for non-compliance, rectification of mistakes, digital authentication of orders, and appellate escalation to the Tribunal, while preserving application of other statutory provisions.