Section 292C → Section 524
Presumption as to assets, books of account, etc.
Quick Answer
Section 292C of the Income Tax Act, 1961 (Presumption as to assets, books of account, etc.) corresponds to Section 524 of the Income-tax Act, 2025, effective 1st April 2026. Status: Retained.
What changed for Section 292C
Section 292C of the 1961 Act sets out the rules on presumption as to assets, books of account, etc.. Presumption that documents, books, and assets found during a search or survey belong to the person and their contents are true.
The new code maps this to Section 524: the provision is retained and renumbered as Section 524 of the Income-tax Act, 2025, applying from 1st April 2026. Retained and expanded. Burden of proof lies entirely on the assessee to disprove ownership.
On the ground, changes to Section 292C carry a High impact. Strengthens the department's position in litigation after raids.
Sec 292C
Provision Summary
Presumption that documents, books, and assets found during a search or survey belong to the person and their contents are true.
Sec 524
Provision Summary
Retained and expanded. Burden of proof lies entirely on the assessee to disprove ownership.
Key Changes & Highlights
- Virtual Digital Assets (VDAs) and electronic information explicitly included in the presumption clause.
Related Sections
Frequently Asked Questions
What does Section 292C of the Income Tax Act 1961 deal with?
Section 292C of the Income Tax Act, 1961 covers presumption as to assets, books of account, etc.. Presumption that documents, books, and assets found during a search or survey belong to the person and their contents are true.
Where does Section 292C of the ITA 1961 go under the Income-tax Act, 2025?
Section 292C of the Income Tax Act, 1961 maps to Section 524 of the Income-tax Act, 2025, effective 1st April 2026 (status: Retained). Retained and expanded. Burden of proof lies entirely on the assessee to disprove ownership.
Why does the change to Section 292C matter for taxpayers?
The transition impact for Section 292C is rated High. Strengthens the department's position in litigation after raids.
What are the key changes to Section 292C under the Income-tax Act, 2025?
Virtual Digital Assets (VDAs) and electronic information explicitly included in the presumption clause. These points are specific to Section 292C (Presumption as to assets, books of account, etc.).
Disclaimer: This mapping of Section 292C (Presumption as to assets, books of account, etc.) to Section 524 of the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 292C is currently marked Retained, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.
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