What is the Income-tax Act, 2025 and when did it come into effect?

The Income-tax Act, 2025 replaced the Income Tax Act 1961 from April 1, 2026. It simplifies the entire direct tax framework, renumbers sections, removes redundancies, and modernizes taxation for India.

Is the Income Tax Act 1961 still valid after April 2026?

The Income Tax Act 1961 was repealed under Section 536 of the new Act from April 1, 2026. However, all assessments, appeals, and proceedings for periods before April 1, 2026 continue under the old ITA 1961 rules.

What is the new section number for Section 80C in Income Tax Act 2025?

Section 80C of the ITA 1961 maps to Section 123 of the Income-tax Act, 2025. Deductions for LIC premiums, PPF, ELSS, EPF, and home loan principal repayment continue under the new act.

What is the new section for TDS on professional fees (194J)?

Section 194J (TDS on professional and technical services) of the old Income Tax Act 1961 has been renumbered in the Income-tax Act, 2025. Use our free converter at ita1961to2025.in to find the exact new section number instantly.

How do I convert old income tax section numbers to new 2025 numbers?

Visit ita1961to2025.in and use the free section search tool. Type any old ITA 1961 section number (e.g., 80C, 194J, 139) and instantly see the new Income-tax Act, 2025 equivalent, its status, and key changes.

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Which sections were completely deleted in the new Income Tax Act 2025?

Several redundant and overlapping sections from ITA 1961 were not carried into the Income-tax Act, 2025. Use our free converter — each section is marked as Retained, Modified, or Deleted so you can quickly check any section's status.

Can I download the ITA 1961 to Income-tax Act 2025 comparison as a PDF?

Yes! Visit the Comparison page at ita1961to2025.in/comparison to download a free cheat sheet PDF showing side-by-side mapping of key ITA 1961 sections to their Income-tax Act, 2025 equivalents.

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ITA 1961 → ITA 2025Corporate Taxation

Section 115W

Fringe Benefit Tax (FBT) - Definitions and Charge

DeletedHigh - Major historical milestone in payroll taxation.

Quick Answer

Section 115W (Fringe Benefit Tax (FBT) - Definitions and Charge) has been deleted under the Income-tax Act, 2025, effective 1st April 2026.

What changed for Section 115W

The starting point is Section 115W of the Income Tax Act, 1961 — fringe benefit tax (FBT) - definitions and charge. Levied a separate tax (FBT) on the employer for the value of fringe benefits or privileges provided to employees (travel, club memberships, etc.).

Under the Income-tax Act, 2025 (effective 1st April 2026), this provision has been deleted — there is no successor section carrying it forward. NA. FBT was abolished entirely. Fringe benefits are now taxed as 'perquisites' directly in the hands of the employee under Section 17.

The transition impact on Section 115W is assessed as High. Major historical milestone in payroll taxation.

Old Law (ITA 1961)Ch: XII-H

Sec 115W

Provision Summary

Levied a separate tax (FBT) on the employer for the value of fringe benefits or privileges provided to employees (travel, club memberships, etc.).

Removed under ITA 2025

Deleted

Provision Summary

NA. FBT was abolished entirely. Fringe benefits are now taxed as 'perquisites' directly in the hands of the employee under Section 17.

Key Changes & Highlights

Complete structural shift from employer-taxation to employee-taxation for perks.

Related Sections

Section 17

Frequently Asked Questions

Which subject does Section 115W of the 1961 Act cover?

Section 115W of the Income Tax Act, 1961 covers fringe benefit tax (FBT) - definitions and charge. Levied a separate tax (FBT) on the employer for the value of fringe benefits or privileges provided to employees (travel, club memberships, etc.).

Is Section 115W of the ITA 1961 still applicable under the Income-tax Act, 2025?

Section 115W has been deleted under the Income-tax Act, 2025, with no successor section carrying it forward from 1st April 2026. NA. FBT was abolished entirely. Fringe benefits are now taxed as 'perquisites' directly in the hands of the employee under Section 17.

How does the Income-tax Act, 2025 affect Section 115W in practice?

The transition impact for Section 115W is rated High. Major historical milestone in payroll taxation.

What is new about Section 115W under the Income-tax Act, 2025?

Complete structural shift from employer-taxation to employee-taxation for perks. These points are specific to Section 115W (Fringe Benefit Tax (FBT) - Definitions and Charge).

Disclaimer: This mapping of Section 115W (Fringe Benefit Tax (FBT) - Definitions and Charge) under the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 115W is currently marked Deleted, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.

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