New Provision
Section 214, IT Act 2025
Replaces (IT Act 1961)
115E
Chapter
Chapter XII — Tax on Special Incomes
Effective From
1 April 2026
Statutory Text — Section 214
The income-tax payable on the total income of an assessee, being a non-resident Indian, which includes income specified in column B of the Direct Taxes Committee 3 1 4
Table below, shall be the aggregate of income-tax computed at the rate specified in the column C applied on the corresponding income specified in column B. Table Sl. Income Rate of Income-tax payable No. A B C 1. Income from investment. 20% 2. Income from long-term capital gains 12.5% on specified asset. 3. Total income as reduced by income Rates in force. referred to against serial numbers 1 and 2.
Shahi & Co. — Our Understanding
This section is part of Chapter XII of the Income Tax Act, 2025, effective from 1 April 2026. It carries forward the corresponding provision from the Income Tax Act, 1961 with simplified language and restructured drafting.
Practical Note: For specific guidance on how this provision applies to your situation, consult a qualified Chartered Accountant. The Income Tax Act, 2025 retains the substance of the old law while making it more accessible.
Shahi & Co., Chartered Accountants
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Disclaimer: This is a reproduction of Section 214 of the Income Tax Act, 2025 (No. 30 of 2025) as published in the Official Gazette of India (CG-DL-E-22082025-265620) for informational and reference purposes only. Shahi & Co., Chartered Accountants makes no warranty as to completeness or accuracy. For the official authenticated text refer to
egazette.gov.in or
incometaxindia.gov.in. This does not constitute legal or tax advice.