📘 Some Important Sections: Old Income-tax Act, 1961 vs New Income-tax Act, 2025
📌 Concept continuity with structural renumbering
1. Heads of Income
🔹 Old: Sec 14 | New: Sec 13
Defines the five heads under which total income is classified—Salary, House Property, Business/Profession, Capital Gains, and Other Sources.
2. Income from House Property
🔹 Old: Sec 22 | New: Sec 20
Charges annual value of property (subject to self-occupied provisions) to tax.
3. Deductions from House Property Income
🔹 Old: Sec 24 | New: Sec 22 (Allows deductions for standard deduction and interest on borrowed capital.)
4. Profits & Gains of Business or Profession
🔹 Old: Sec 28 | New: Sec 26
Specifies items chargeable under business income, including profits, incentives, and perquisites.
5. Depreciation
🔹 Old: Sec 32 | New: Sec 33
Provides deduction for wear and tear of tangible and intangible assets used for business or profession.
6. Expenses Not Deductible in Certain Cases
🔹 Old: Sec 40A | New: Sec 36
Restricts deductions for cash payments, excessive or unreasonable expenditure, etc.
7. Deductions on Actual Payment Basis
🔹 Old: Sec 43B | New: Sec 37
Allows specified expenses (tax, duty, PF, etc.) only on actual payment.
8. Presumptive Taxation
🔹 Old: Sec 44AD / 44ADA / 44AE | New: Sec 58
Simplified taxation scheme for eligible businesses and professionals.
9. Maintenance of Books of Account
🔹 Old: Sec 44AA | New: Sec 62
Specifies persons required to maintain prescribed books and records.
10. Tax Audit
🔹 Old: Sec 44AB | New: Sec 63
Mandates audit of accounts where turnover or receipts exceed prescribed limits.
11. Capital Gains – Charging Section
🔹 Old: Sec 45 | New: Sec 67
Charges profits on transfer of capital assets to tax.
12. Transactions Not Regarded as Transfer
🔹 Old: Sec 47 | New: Sec 70
Specifies transactions excluded from capital gains, including certain restructurings.
13. Mode of Computation of Capital Gains
🔹 Old: Sec 48 | New: Sec 72
Defines computation mechanism—sale consideration less cost and expenses.
14. Cost of Acquisition in Special Cases
🔹 Old: Sec 49 | New: Sec 73
Determines cost where assets are acquired by gift, inheritance, amalgamation, etc.
15. Capital Gain Exemptions (Residential Property / Bonds)
🔹 Old: Sec 54 / 54EC / 54F | New: Sec 82 / 85 / 86
Provides exemption on reinvestment of capital gains.
16. Income from Other Sources
🔹 Old: Sec 56 | New: Sec 92
Residual head covering interest, dividends, gifts, and similar incomes.
17. Total Income
🔹 Old: Sec 66 | New: Sec 101
Defines aggregation of income after set-off and deductions.
18. Deductions – Chapter VI-A
🔹 Sec 80C → Sec 123 | Sec 80D → Sec 126
Covers deductions for life insurance, provident fund, health insurance, etc.
19. Rebate for Individuals
🔹 Old: Sec 87A | New: Sec 156
Provides rebate of income-tax for specified income levels.
20. Cash Transaction Restrictions
🔹 Old: Sec 269SS / 269ST / 269T | New: Sec 185 / 186 / 188
Discourages cash loans, deposits, and repayments.
21. Capital Gains Tax Rates
🔹 Old: Sec 111A / 112 / 112A | New: Sec 196 / 197 / 198
Prescribes tax rates for short-term and long-term capital gains.
22. New Tax Regime
🔹 Old: Sec 115BAC | New: Sec 202
Optional concessional tax regime with reduced exemptions and deductions.
23. Return of Income & PAN
🔹 Old: Sec 139 / 139A | New: Sec 263 / 264
Governs filing of returns of income and PAN-related compliance.
24. Assessment & Reassessment
🔹 Old: Sec 143 / 144 / 147 | New: Sec 270 / 271 / 279
Covers scrutiny assessment, best judgment assessment, and income escaping assessment.
25. TDS & TCS Provisions
🔹 Old: Sec 192–194 / 206C | New: Sec 393 / 394
Provides mechanism for advance collection of tax at source.
26. Fee for Late Filing of Return
🔹 Old: Sec 234F | New: Sec 428
Provides for levy of fee for delay in filing return of income.