Section 288A → Section 421
Rounding off of income
Quick Answer
Section 288A of the Income Tax Act, 1961 (Rounding off of income) corresponds to Section 421 of the Income-tax Act, 2025, effective 1st April 2026. Status: Retained.
What changed for Section 288A
Section 288A of the 1961 Act sets out the rules on rounding off of income. Total income shall be rounded off to the nearest multiple of ten rupees.
Under the Income-tax Act, 2025 (effective 1st April 2026), Section 288A is retained and renumbered as Section 421 of the Income-tax Act, 2025. Retained verbatim. Ensures calculation simplicity across the portal.
The transition impact on Section 288A is assessed as Low. Standard arithmetic rule.
Sec 288A
Provision Summary
Total income shall be rounded off to the nearest multiple of ten rupees.
Sec 421
Provision Summary
Retained verbatim. Ensures calculation simplicity across the portal.
Key Changes & Highlights
- Algorithm automatically applies this rounding rule before computing the tax.
Frequently Asked Questions
Which subject does Section 288A of the 1961 Act cover?
Section 288A of the Income Tax Act, 1961 covers rounding off of income. Total income shall be rounded off to the nearest multiple of ten rupees.
What is the new section number for Section 288A under the Income-tax Act, 2025?
Section 288A of the Income Tax Act, 1961 maps to Section 421 of the Income-tax Act, 2025, effective 1st April 2026 (status: Retained). Retained verbatim. Ensures calculation simplicity across the portal.
How does the Income-tax Act, 2025 affect Section 288A in practice?
The transition impact for Section 288A is rated Low. Standard arithmetic rule.
What is new about Section 288A under the Income-tax Act, 2025?
Algorithm automatically applies this rounding rule before computing the tax. These points are specific to Section 288A (Rounding off of income).
Disclaimer: This mapping of Section 288A (Rounding off of income) to Section 421 of the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 288A is currently marked Retained, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.
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