Section 132B → Section 148
Application of seized or requisitioned assets
Quick Answer
Section 132B of the Income Tax Act, 1961 (Application of seized or requisitioned assets) corresponds to Section 148 of the Income-tax Act, 2025, effective 1st April 2026. Status: Retained.
What changed for Section 132B
Section 132B of the 1961 Act sets out the rules on application of seized or requisitioned assets. Details how seized cash and assets will be applied towards existing tax liabilities and how the remainder will be released to the assessee.
From 1st April 2026, the same subject sits at Section 148 of the Income-tax Act, 2025 — retained and renumbered as Section 148 of the Income-tax Act, 2025. Retained. Tightened timelines for the release of seized assets if no assessment is finalized.
For Section 132B, the practical impact is rated High. Governs the recovery of funds post-raid.
Sec 132B
Provision Summary
Details how seized cash and assets will be applied towards existing tax liabilities and how the remainder will be released to the assessee.
Sec 148
Provision Summary
Retained. Tightened timelines for the release of seized assets if no assessment is finalized.
Key Changes & Highlights
- Taxpayers can formally request via the portal to adjust seized cash against their advance tax liability to stop interest meters.
Related Sections
Frequently Asked Questions
What is Section 132B of the Income Tax Act, 1961 about?
Section 132B of the Income Tax Act, 1961 covers application of seized or requisitioned assets. Details how seized cash and assets will be applied towards existing tax liabilities and how the remainder will be released to the assessee.
Which section replaces Section 132B in the Income-tax Act, 2025?
Section 132B of the Income Tax Act, 1961 maps to Section 148 of the Income-tax Act, 2025, effective 1st April 2026 (status: Retained). Retained. Tightened timelines for the release of seized assets if no assessment is finalized.
What is the impact of the change to Section 132B under the new tax code?
The transition impact for Section 132B is rated High. Governs the recovery of funds post-raid.
What should I watch out for when Section 132B moves to the 2025 code?
Taxpayers can formally request via the portal to adjust seized cash against their advance tax liability to stop interest meters. These points are specific to Section 132B (Application of seized or requisitioned assets).
Disclaimer: This mapping of Section 132B (Application of seized or requisitioned assets) to Section 148 of the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 132B is currently marked Retained, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.
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