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    Comprehensive regime for the taxation of "specified income" of registered non-profit organisations (...
    Special Taxation of Non-Resident Sportsmen and Entertainers : Clause 211 of the Income Tax Bill, 202...
    Special Tax Regimes for Gaming and Gambling Incomes : Clause 194 (Table: S. No. 1) of Income Tax Bil...
    Special concessional tax regime for new manufacturing co-operative societies in India : Clause 204 o...
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    Taxation of income from Global Depository Receipts (GDRs) earned by resident employees of Indian com...
    Legislative framework governing the taxation of income derived by non-residents from bonds and Globa...
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    Streamline, simplify, and update the tax framework applicable to non-residents and foreign companies...
    Special procedure for calculating tax liability on income discovered during search operations : Clau...
    Recalibrating Long-Term Capital Gains Taxation : Clause 198 of the Income Tax Bill, 2025 Vs. Section...
    Reforming Long-Term Capital Gains Taxation : Clause 197 of the Income Tax Bill, 2025 Vs. Section 112...
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    Act RulesBills
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    Anonymous donations taxation: broader scope and threshold rule increase compliance and record-keeping obligations for non-profits.
    Clause 337 targets anonymous donations to registered non-profit organisations (excluding entities wholly for religious purposes) by taxing the amount of anonymous donations exceeding the higher of a specified absolute sum or a percentage of such donations in the tax year, with contemporaneous recognition of receipts. The clause broadens applicability beyond the prior enumerated institutions, omits a specified tax rate, and lacks detailed definitions and compliance mechanics, creating interpretive and administrative uncertainties for mixed purpose organisations and cross border receipts.
    Act RulesBills
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    Special taxation of non-resident sports and entertainment income: flat-rate treatment with no deductions and TDS-driven compliance.
    A flat-rate regime taxes specified India-sourced receipts of non-resident sportsmen, sports associations, and entertainers-covering participation, performances, advertisements and article contributions-with such receipts treated as ring-fenced special income taxed separately from other income; deductions are expressly disallowed for computing that special income, and proper withholding at source can exempt a taxpayer from domestic return-filing when that is the taxpayer's sole Indian income.
    Act RulesBills
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    Tax on gambling winnings: flat gross tax with no deductions, and online gaming treated separately.
    Clause 194 (Table S. No. 1) taxes winnings from lotteries, crossword puzzles, races (excluding income from owning or maintaining race horses), card games and other gambling at a flat rate on gross receipts with no deductions or set-off; tax is computed in two steps-tax on such winnings and tax on the balance of income as if winnings were excluded-and winnings from online games are expressly excluded and dealt with separately.
    Act RulesBills
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    Concessional tax regime for new manufacturing co-operative societies offers reduced tax for qualifying manufacturing income.
    A concessional tax regime grants newly formed manufacturing co-operative societies an optional, irrevocable reduced tax treatment for qualifying manufacturing income, contingent on formation and commencement within prescribed windows, exercise of the option in the prescribed manner, and compliance with anti abuse conditions. Qualifying income is computed without specified deductions or set offs, certain non manufacturing income and specified gains are taxed at higher rates, and failure to satisfy conditions withdraws the regime for the relevant and subsequent years.
    Act RulesBills
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    Concessional tax regime for resident cooperative societies: elective simplified computation in exchange for forgoing specified deductions.
    Clause 203 establishes an elective concessional tax regime for resident cooperative societies permitting computation of total income without specified deductions and without set-off of losses or depreciation attributable to those disallowed deductions; the option is exercised in the prescribed manner within the return-filing timeframe, is irrevocable, and failure to meet conditions renders the option invalid for that and subsequent years, while losses and depreciation not allowed are deemed finally given effect. An IFSC carve-out permits designated deductions for IFSC units subject to conditions.
    Act RulesBills
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    New tax regime narrows exemptions and denies related loss carry-forwards, requiring strict opt-in procedures and electronic compliance.
    Clause 202 creates a consolidated new tax regime for individuals, HUFs, AOPs, BOIs and certain artificial juridical persons pairing a graded slab structure with the denial of most specified exemptions, deductions and loss set-offs. Total income is computed without the benefit of listed deductions and without carry-forward or set-off of losses and depreciation attributable to those disallowed items. The clause prescribes an option procedure with strict withdrawal and re-entry limits for business/professional assessees and contemplates procedural electronic filing requirements and an IFSC carve-out.
    Act RulesBills
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    Concessional tax regime for new manufacturing companies limits exemptions and binds firms to an irrevocable option for preferential taxation.
    Concessional tax regime for new manufacturing domestic companies grants a lower corporate rate to qualifying manufacturers while disallowing most exemptions and deductions. The regime requires an irrevocable option, exercised in the prescribed manner by the due date for the first return; failure to meet conditions causes permanent loss of eligibility. Income computation is exemption free, with no carry forward for losses or depreciation attributable to disallowed deductions. Benefits can continue on amalgamation if conditions are met. Procedural and definitional details are expected to be specified in subordinate rules.
    Act RulesBills
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    Optional concessional corporate tax regime requires companies to forgo specified deductions and accept irrevocable tax treatment.
    Optional concessional corporate tax regime requires domestic companies to compute taxable income without specified deductions and to forgo set-off or carry forward of losses or depreciation attributable to those disallowed items, treating such losses and depreciation as having been given full effect; the option must be exercised in the prescribed manner by the filing due date, is irrevocable and applies to subsequent tax years, with modified treatment for IFSC units and procedural details to be provided by subordinate rules.
    Act RulesBills
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    Concessional tax regime for manufacturing companies requires irrevocable option and prohibits set off of attributable losses.
    Clause 199 creates a concessional tax regime for qualifying domestic manufacturing companies, available at the taxpayer's option, conditioned on exclusive engagement in manufacturing related activities and computed without specified deductions. It precludes set off of losses attributable to those disallowed deductions by deeming such losses to have been fully given effect to. The option must be exercised in the prescribed manner by the due date for the first return and, once exercised, is irrevocable for subsequent years except where a statutory switch is permitted, thereby trading lower tax rates for forfeiture of targeted incentives and necessitating clear procedural compliance.
    Act RulesBills
    Show AI Summary
    Taxation of special incomes: consolidated flat-rate regime covering life insurance profits and emerging digital income streams.
    Clause 194 creates a consolidated flat-tax framework for specified special incomes-winnings, patent royalties, carbon credits, VDAs, online game winnings, and life insurance profits-providing category-specific rates, comprehensive definitions, and an overriding application. For life insurance business it preserves a concessional 12.5% flat tax and the aggregate computation method but omits the prior temporary deposit requirement and lacks detailed computation rules, potentially causing interpretive issues on measuring ''profits and gains.'' Clause 194 modernises taxation of emerging income streams while centralising special-income treatment under one provision.
    Act RulesBills
    Show AI Summary
    Taxation of foreign portfolio investment: concessional rates tied to strict attribution and compliance requirements.
    Clause 210 creates a consolidated tax framework for FIIs and specified funds on securities income and capital gains, setting concessional rates by income category and conditioning those rates on prescribed attribution to non resident unit holders (excluding permanent establishments). It restricts specified deductions where income consists solely of securities receipts, disapplies certain loss set off provisions for securities gains, and anticipates rule based mechanisms for daily AUM attribution and digital filing requirements, aligning and refining the policy and operational features previously governed by Section 115AD and Rules 21AJ/21AJAA.
    Act RulesBills
    Show AI Summary
    Taxation of GDR income: concessional treatment for ESOP dividends and capital gains with notification based eligibility.
    Clause 193 of the Income Tax Bill, 2025 continues the concessional tax regime for dividends and long term capital gains on Global Depository Receipts acquired in foreign currency by resident employees under government notified ESOPs, limits deductions where gross total income consists solely of such GDR income, updates statutory cross references and definitions to current corporate law and IFSCs, and excludes certain computation benefits for GDR capital gains while preserving the notification requirement to restrict eligibility to approved schemes.
    Act RulesBills
    Show AI Summary
    Concessional tax regime for non resident bond and GDR income ensures specified rates, filing exemptions, and notification based eligibility.
    Clause 209 creates a concessional tax regime for non resident income from specified bonds and GDRs purchased in foreign currency, requiring purchase through an approved intermediary for GDRs under government notified schemes; it prescribes specific tax rates for interest, dividends and long term capital gains, restricts deductions where specified income is sole income, ring fences capital gains by disallowing set off provisions for computation, exempts non residents from return filing when TDS is applied, and preserves treatment on amalgamation or demerger.
    Act RulesBills
    Show AI Summary
    Taxation of offshore fund income: concessional rates for unit income and segregated treatment to prevent double deductions.
    Clause 208 establishes a special tax regime for overseas financial organisations investing in units purchased in foreign currency: concessional rates apply to income from such units and to long term capital gains, other income is taxed at normal rates with aggregation across heads, deductions are disallowed where gross total income consists solely of such concessional income while in mixed income cases concessional income must be segregated and deductions allowed only against the non concessional portion, and eligibility requires specified investment arrangements with prescribed Indian institutions plus SEBI approval with ''unit'' defined by cross reference to the schedule or UTI.
    Act RulesBills
    Show AI Summary
    Tax on provident fund accumulations: retrospective, year wise recalculation imposed when exemption conditions fail and tax withheld at payment.
    Clause 191 charges tax on an accumulated balance of a recognised provident fund when schedule exemption conditions are unmet, directing the Assessing Officer to perform a retrospective, year wise calculation of the notional tax that would have applied had the fund not been recognised and to charge the excess over tax actually paid in the year of payment, with trustees required to withhold tax at source on the taxable portion.
    Act RulesBills
    Show AI Summary
    Tax rates for non residents clarified: consolidated withholding regime, gross basis taxation, and filing exemptions streamlined.
    Clause 207 consolidates tax treatment of specified Indian source incomes of non residents and foreign companies by prescribing rates for dividends, interest, royalties and fees for technical services, preserving concessional rates for IFSC incomes and infrastructure debt funds, and treating residual income at normal rates. It mandates gross basis taxation by denying deductions under specified sections, excludes specified incomes from deduction computations under Chapter VIII (with an IFSC exception), streamlines approval requirements for royalties and FTS, and exempts non residents from return filing where such incomes alone are subject to prescribed withholding tax.
    Act RulesBills
    Show AI Summary
    Block assessment tax imposes a flat punitive rate on total income from search-derived block periods, broadening the tax base.
    Clause 192 taxes the total income of the block period as determined under section 294, replacing the narrower concept of "undisclosed income," and prescribes a flat 60% tax rate with applicable surcharge, thereby broadening the tax base for block assessments while aiming to simplify rate and surcharge determinations.
    Act RulesBills
    Show AI Summary
    Long-term capital gains taxation recalibrated to a higher concessional rate with STT linkage and IFSC carve-outs.
    Clause 198 establishes a revised LTCG regime for transfers of equity shares, equity oriented fund units, and business trust units where STT conditions are met, prescribing a codified concessional tax on specified LTCG with an IFSC exemption for foreign currency trades; it preserves marginal relief for resident individuals and HUFs, restricts the order of applying deductions and rebates against LTCG, defines equity oriented fund investment thresholds and averaging rules, and grants government power to notify exceptions to STT requirements.
    Act RulesBills
    Show AI Summary
    Long term capital gains taxation reformed: uniform lower rate, limited indexation grandfathering, and exemption limit relief retained.
    Clause 197 restructures long term capital gains taxation by imposing a uniform flat rate for most LTCG, removing indexation except for formulaic transitional relief for land and buildings acquired before the specified cut off, preserving basic exemption relief for resident individuals and HUFs by reducing LTCG by any shortfall in other income, excluding certain equity related instruments from its scope, and requiring deductions to be computed on gross total income excluding LTCG.
    Act RulesBills
    Show AI Summary
    Short-term capital gains tax regime tightened: higher flat rate for STT-eligible securities alters investor incentives and compliance obligations.
    Clause 196 targets short term capital gains from equity shares, equity oriented fund units and business trust units that are chargeable to STT, imposing a flat tax on such gains while preserving normal taxation of remaining income. It limits concessional treatment to exchange based STT transactions, provides relief by reducing eligible STCG where other income falls below the basic exemption, excludes IFSC foreign currency transactions, and allows Chapter VIII deductions only after reducing gross total income by the specified STCG.

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      Review of Customs duty Exemptions - Review of conditional exemption rates of BCD

      24 July, 2024

      Contents
      Notifications
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      Union Budget 2024-25 (Full) + FINANCE (No.2) Bill, 2024

      (i) The BCD exemption for the goods covered under following serial numbers of the notification are being extended upto 31st March, 2026 unless specified otherwise.

      S. No.

      S N of 50/17-Cus

      Brief Description

      1.

      17

      Specified Planting materials, namely, oilseeds, seeds of vegetables, tubers, etc.

      2.

      80A

      Algal oil for manufacturing of aquatic feed

      3.

      90

      Lactose for use in manufacture of homeopathic medicines

      4.

      104

      Specified goods used in processing of sea-food

      5.

      133

      Gold ores and concentrates

      6.

      139

      Bunker Fuels namely: (i). IFO 180 CST; (ii). IFO 380 CST; (iii). VLSFO (CTH 27)

      7.

      150

      Naphtha for manufacture of Fertilisers (scope of exemption is being reduced only to Naphtha)

      8.

      155

      Liquefied petroleum gases (LPG) received from unit in SEZ and returned by the DTA unit to the SEZ unit

      9.

      164

      Electrical energy supplied from SEZ unit to DTA

      10.

      165

      Electrical energy supplied from SEZ to DTA

      11.

      172

      Specified goods used in manufacture of silicon wafers or solar wafers, for manufacture of solar cell or module

      12.

      183

      Medical use fission Molybdenum-99 (Mo-99) for use in manufacture of radio pharmaceuticals

      13.

      184

      Pharmaceutical Reference Standard

      14.

      188

      Goods for manufacture of ELISA Kits

      15.

      191

      Maltol for manufacture of deferiprone

      16.

      204

      Anthraquinone or 2-Ethyl Anthraquinone for use in manufacture of Hydrogen peroxide

      17.

      237

      Specified material for manufacture of EVA (Ethylene Vinyl Acetate) sheets or backsheet, which are used in the manufacture of solar photovoltaic cells or modules (Scope of materials which can be imported is being increased)

      18.

      253

      Specified Goods for manufacture of Brushless Direct Current (BLDC) motors

      19.

      257

      Tags, labels, stickers, belts, buttons, hangers or printed bags, imported by bonafide exporters

      20.

      257A

      Specified goods used in manufacture of handicraft items for export when imported by bonafide exporter

      21.

      257B

      Specified goods used in manufacture of textile or leather garments for export when imported by bonafide exporter

      22.

      257C

      Specified goods used in manufacture of leather or synthetic footwear or other leather products for export when imported by bonafide exporter

      23.

      258

      Security fibre, threads, Paper based Taggant, M-feature for use in manufacture of security paper by Security Paper Mill, Hoshangabad and Bank Note Paper Mill India Pvt Ltd, Mysore.

      24.

      259

      Raw materials for manufacture of security fibre and security thread for supply to Security Paper Mill, Hoshangabad and Bank Note Paper Mill India Pvt. Ltd, Mysore for use in manufacture of security paper

      25.

      260

      Goods for the manufacture of specified orthopedic implants (902110)

      26.

      261

      Raw material for manufacture of Copper-T Contraceptive

      (i) Alatheon

      (ii) Copper Wire

      27.

      265

      Capacitor grades polypropylene granules for manufacture of Capacitor grade plastic

      28.

      269

      Super absorbent polymer for manufacture of adult diapers and specified goods

      29.

      271

      Polytetrametylene ether glycol, (PT MEG) for use in manufacture of spandex yarn

      30.

      276

      Ethylene- propylene- non-conjugated diene rubber (EPDM) for manufacture of insulated wire and cables

      31.

      279

      New or retreated Pneumatic tyres of rubber for use in servicing, repair of maintenance of aircrafts used for operating scheduled air transport service or scheduled air cargo service etc

      32.

      280

      New or retreated Pneumatic tyres of rubber for use in servicing, repair or maintenance of aircraft imported or procured by Aero Club of India/ for flying training purpose/ operating non-scheduled (passenger or charter) services/ AAI for flight calibration purpose

      33.

      290

      Wood pulp for manufacture of newsprint, paper or paperboard

      34.

      292

      Goods imported for manufacture of paper, paper boards, newsprint

      35.

      293A

      Newsprint and uncoated paper imported for printing of newsprint

      36.

      296A

      Lightweight coated paper imported by actual users for printing of magazines

      37.

      326

      Hydrophilic /Hydrophobic Non- Woven, imported for use in the manufacture of Adult Diapers

      38.

      329

      Pile fabrics for the manufacture of toys

      39.

      333

      Moulds, tools and dies, for the manufacture of parts of electronic components or electronic equipment

      40.

      334

      (i) Graphite Felt or Graphite pack for growing silicon ingots (ii) Thin Steel wire used in wire saw for slicing of silicon wafers

      41.

      345A

      Simply Sawn Diamonds

      42.

      364A

      Spent catalyst or ash containing precious metals

      43.

      368

      Ferrous Scrap

      44.

      374

      Magnesium Oxide (MgO) coated cold rolled steel coils for use in manufacture of cold rolled grain oriented (CRGO) steel

      45.

      375

      Specified items for manufacture of cold rolled grain-oriented steel (CRGO) steel

      46.

      378

      Metal parts for manufacture of electrical insulators falling under heading 8546

      47.

      379

      Pipes and tubes for use in manufacture of boilers

      48.

      380

      Forged steel rings for manufacture of special bearings for use in wind operated electricity generators

      49.

      381

      Flat copper wire for use in the manufacture of photo voltaic ribbon for manufacture of solar photovoltaic cell or modules

      50.

      392

      Dies for drawing metal, where imported after repairs from abroad

      51.

      403

      Parts and raw materials for offshore oil exploration

      52.

      404

      Specified items including capital goods and raw materials for off shore oil exploration

      53.

      415

      Parts for manufacture of catalytic convertors

      54.

      415A

      Platinum or Palladium for manufacture of Noble Metal Compounds & Noble Metal Solutions

      55.

      416

      Ceria zirconia compounds for use in the manufacture of washcoat for catalytic converters

      56.

      417

      Cerium compounds for use in the manufacture of washcoat for catalytic converters

      57.

      418

      Zeolite for use in the manufacture of washcoat for catalytic converters

      58.

      422

      Machinery, electrical equipment for use in semiconductor wafer and LCD

      59.

      423

      Machinery, electrical equipment for use in marking and packaging of semiconductor chips

      60.

      426

      Specified goods for the manufacture of semiconductor devices, memory card, IC, solar cell

      61.

      435

      Capital goods for printing industry

      62.

      442

      Bushings made of Platinum and Rhodium alloy when imported in exchange of worn out or damaged bushings exported out of India

      63.

      446

      Parts and components for manufacture of tunnel boring machines

      64.

      451

      Evacuated tubes with three layers of solar selective coating for use in manufacture of solar water heater

      65.

      462

      Ball screws for use in the manufacture of CNC Lathes

      66.

      463

      Linear Motion Guides for use in the manufacture of CNC Lathes

      67.

      464

      CNC Systems for use in the manufacture of CNC Lathes

      68.

      464A

      Goods for manufacture of plastic processing machineries

      69.

      467

      Parts and components of cash dispenser or automatic bank note dispenser

      70.

      468

      Parts for manufacture of Micro ATM, Fingerprint reader/scanner, Iris scanner, Miniaturised POS (Scope of exemption is being limited to import of raw materials only)

      71.

      471

      All parts for use in the manufacture of LED lights

      72.

      472

      All inputs for use in the manufacture of LED driver or MCPCB for LED lights

      73.

      476

      Television equipment, cameras etc for taking films, imported by a foreign film unit or television team

      74.

      477

      Filming equipment of foreign origin if imported into India after having been exported therefrom.

      75.

      480

      Goods imported for being tested in specified test centers

      76.

      489B

      Goods for manufacturing of Microphones

      77.

      504

      Parts and Components of Digital Still Image Video Cameras

      78.

      509

      Parts, components and accessories for manufacture of Digital Video Recorder

      79.

      510

       Parts, components and accessories for use in manufacture of reception apparatus for television

      80.

      511

      Parts, components and accessories for manufacture of CCTV Camera

      81.

      512

      Specified Parts, components and for use in manufacture of Lithium-ion battery and battery pack

      82.

      512A

      Inputs, parts or sub-parts for use in the manufacturing of Printed Circuit Board Assembly

      83.

      515A

      Open Cell for manufacture of TV Panel

      84.

      516

      The following goods for use in the manufacture of Liquid Crystal Display (LCD) /LED TV Panel

      85.

      517

      Magnetrons for manufacture of domestic microwave ovens

      86.

      519

      Raw materials or parts for use in manufacture of e-Readers

      87.

      523A

      Parts, sub-parts, inputs or raw material for use in manufacture of Lithium-ion cells

      88.

      527

      Lithium-ion cell use in manufacture of battery or battery pack

      89.

      527A

      Lithium-Ion Cell for use in manufacture of battery or battery pack of cellular mobile

      90.

      527B

      Lithium-Ion Cell manufacture of battery or battery pack of EV

      91.

      534

      Parts of gliders or simulators of aircrafts (excluding rubber tyres and tubes of gliders)

      92.

      535

      Raw materials for manufacture of aircraft and parts of aircraft

      93.

      535A

      Parts of aircraft for manufacture of aircraft or for manufacture of parts of aircraft by PSU under Min of Defence

      94.

      536

      Parts, testing equipment, tools and tool-kits for maintenance, repair, and overhauling of aircraft, components or parts of aircrafts

      95.

      537

      All goods of Heading 8802 (except 88026000-spacecraft)

      96.

      538

      Components or parts, including engines, of aircraft of heading 8802

      97.

      539

      (a) Satellites and payloads; (b) Ground equipment brought for testing of (a)

      98.

      539A

      Scientific and technical instruments etc for launch vehicles and satellites

      99.

      540

      Specified goods imported by scheduled air transporter

      100.

      542

      Specified goods imported by Aero Club, Flying Training Institutes

      101.

      543

      Specified goods imported by non-scheduled air transporter

      102.

      544

      Parts (other than rubber tubes), of aircraft of heading 8802

      103.

      546

      Parts (other than rubber tubes), of aircraft of heading 8802

      104.

      548

      Barges or pontoons imported along with ships

      105.

      551

      Cruise ships, Excursion ships

      106.

      553

      Fishing vessels, Tugs and Pusher crafts, light vessels excluding vessels and floating structure imported for break up

      107.

      555

      Vessels like warships, lifeboats excluding vessels and floating structure imported for break up

      108.

      567

      Stainless steel tube and wire, for manufacture of Coronary stents /artificial valve

      109.

      569

      Parts required for manufacture of Ostomy products

      110.

      570

      Medical and surgical instruments, apparatus and appliances including spare parts and accessories thereof

      111.

      575

      Specified Hospital Equipment for use in specified hospitals

      112.

      578A

      Raw materials, for the manufacture of Cochlear Implants

      113.

      580

      X-Ray Baggage Inspection Systems and parts thereof

      114.

      581

      Portable X-ray machine / system

      115.

      583

      Parts and cases of braille watches, for the manufacture of Braille watches

      116.

      591

      Parts of electronic toys

      117.

      593

      Parts of video games for the manufacture of video games

      Note: Description of entries is indicative. Notification may be referred to for complete description.

      (ii) The BCD exemption for the goods covered under following serial numbers of the notification no 50/2017-Customs is being extended upto 31st March 2029.

      S. No.

      S. No. of 50/2017Cus

      Brief Description

      1.

      212A

      Medicines/drugs/vaccines supplied free by United  Nations International Children's Emergency Fund (UNICEF), Red Cross etc

      2.

      213

      Drugs and materials

      3.

      428

      Specified goods imported by accredited press cameraman

      4.

      429

      Specified goods, imported by accredited journalist

      5.

      549

      Capital goods, raw materials and spares for repairs of ocean-going vessels

      6.

      550

      Spare parts and consumables for repairs of ocean going vessels registered in India.

      7.

      577

      Lifesaving medical equipment for personal use

      8.

      607

      Life Saving drugs like Keytruda etc

      9.

      607A

      Lifesaving drugs/medicines for personal use

      10.

      611

      Archaeological artefacts for exhibition in a museum

      11.

      612

      Specified raw material for sports goods

      Note: Description of entries is indicative. Notification may be referred to for complete description.


      Full Text:

      Union Budget 2024-25 (Full) + FINANCE (No.2) Bill, 2024

      Topics

      ActsIncome Tax