Income-tax Act, 1961 (Updated with Finance Act 2024 & 2025)

# Income-tax Act, 1961 The Income-tax Act, 1961 is the comprehensive charging statute for direct taxation across India. It encompasses 298 sections and XIV schedules governing classification of income, allowable deductions, assessment procedures, and appellate remedies. ## Key Charging Heads of Income (Section 14): 1. **Salaries** (Sections 15 - 17) 2. **Income from House Property** (Sections 22 - 27) 3. **Profits and Gains of Business or Profession** (Sections 28 - 44DB) 4. **Capital Gains** (Sections 45 - 55A) 5. **Income from Other Sources** (Sections 56 - 59) ## Landmark Direct Tax Sections: - **Section 115BAC**: Concessional New Tax Regime with reduced tax brackets. - **Section 43B(h)**: Timely payment mandate for goods/services purchased from Micro & Small Enterprises. - **Section 44AD / 44ADA**: Presumptive taxation scheme for small businesses and eligible professionals. - **Section 194J & 194C**: Tax Deducted at Source (TDS) on professional fees and contractor payments.