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ITA 1961 → ITA 2025Exemptions

Section 10(46A) Section 12

Income of notified body established for housing, city planning etc.

RetainedHigh - Crucial for real estate and urban development boards.

Quick Answer

Section 10(46A) of the Income Tax Act, 1961 (Income of notified body established for housing, city planning etc.) corresponds to Section 12 of the Income-tax Act, 2025, effective 1st April 2026. Status: Retained.

What changed for Section 10(46A)

Section 10(46A) of the 1961 Act sets out the rules on income of notified body established for housing, city planning etc.. Exempts income of entities constituted under any law for the purpose of dealing with and satisfying the need for housing accommodation or urban planning.

The new code maps this to Section 12: the provision is retained and renumbered as Section 12 of the Income-tax Act, 2025, applying from 1st April 2026. Retained. Ensures that state development authorities (like DDA, MHADA) remain tax-exempt on their core activities.

On the ground, changes to Section 10(46A) carry a High impact. Crucial for real estate and urban development boards.

Old Law (ITA 1961)Ch: III

Sec 10(46A)

Provision Summary

Exempts income of entities constituted under any law for the purpose of dealing with and satisfying the need for housing accommodation or urban planning.

New Law (ITA 2025)Ch: III

Sec 12

Provision Summary

Retained. Ensures that state development authorities (like DDA, MHADA) remain tax-exempt on their core activities.

Key Changes & Highlights

  • Commercial activities decoupled and strictly tracked.

Frequently Asked Questions

What does Section 10(46A) of the Income Tax Act 1961 deal with?

Section 10(46A) of the Income Tax Act, 1961 covers income of notified body established for housing, city planning etc.. Exempts income of entities constituted under any law for the purpose of dealing with and satisfying the need for housing accommodation or urban planning.

Where does Section 10(46A) of the ITA 1961 go under the Income-tax Act, 2025?

Section 10(46A) of the Income Tax Act, 1961 maps to Section 12 of the Income-tax Act, 2025, effective 1st April 2026 (status: Retained). Retained. Ensures that state development authorities (like DDA, MHADA) remain tax-exempt on their core activities.

Why does the change to Section 10(46A) matter for taxpayers?

The transition impact for Section 10(46A) is rated High. Crucial for real estate and urban development boards.

What are the key changes to Section 10(46A) under the Income-tax Act, 2025?

Commercial activities decoupled and strictly tracked. These points are specific to Section 10(46A) (Income of notified body established for housing, city planning etc.).

Disclaimer: This mapping of Section 10(46A) (Income of notified body established for housing, city planning etc.) to Section 12 of the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 10(46A) is currently marked Retained, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.

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