capital-gains-tax-indialisted

# Capital Gains Tax (India) > **This skill produces information, not tax advice.** Tax outcomes depend on residential status, the taxpayer's other income, the specific facts of acquisition, and provisions that change with every Finance Act. Always tell the user to confirm with a qualified chartered accountant or tax adviser before acting, and never file, compute a final liability, or advise on a structure. ## What changed on 1 April 2026 The **Income-tax Act 2025** replaced the Income-tax Act 1961 with effect from **1 April 2026**. It has **536 sections and 16 schedules**, against 819 sections and 14 schedules in the 1961 Act, and the rules were reduced from 511 to 333 with forms cut from 399 to 190. Two consequences for practical work: 1. **"Tax year" replaces "previous year".** A tax year is the twelve-month period of the financial year, 1 April to 31 March. The separate "assessment year" language of the old Act falls away in the new drafting. 2. **Almost every section is renumbered.** Capital gains now sit principally at **Section 67** of the 2025 Act. Old habits — "Section 112A", "Section 111A", "Section 54" — refer to the repealed Act. When citing, give the new section and, where useful, note the 1961 Act equivalent so older material can be reconciled. The government has described the exercise as consolidation rather than a change in tax burden: **the substantive rates below were set by the Finance (No. 2) Act 2024 and carried into the new Act.** ## Holding period