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The Income Tax Act 1961 was repealed under Section 536 of the new Act from April 1, 2026.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.

Is the ITA 1961 to 2025 mapping tool free for CAs and tax professionals?

Yes, completely free. The section mapper, comparison cheat sheet, PDF download, and Tax Academy blog are all free for Chartered Accountants, tax lawyers, law students, and taxpayers.

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 2025Capital Gains Exemption

Section 54G

Exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area

DeletedMedium - Historical reference for industrial relocations.

Quick Answer

Section 54G (Exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area) has been deleted under the Income-tax Act, 2025, effective 1st April 2026.

What changed for Section 54G

Under the Income Tax Act, 1961, Section 54G governs exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area. Exempted capital gains arising from the sale of machinery, plant, or building to shift an industrial unit from an urban to a non-urban area.

When the Income-tax Act, 2025 takes effect on 1st April 2026, Section 54G is deleted rather than renumbered. NA. Sunset provision. The policy shifted from promoting non-urban areas to specific SEZs and manufacturing hubs.

For Section 54G, the practical impact is rated Medium. Historical reference for industrial relocations.

Old Law (ITA 1961)Ch: IV-E

Sec 54G

Provision Summary

Exempted capital gains arising from the sale of machinery, plant, or building to shift an industrial unit from an urban to a non-urban area.

Removed under ITA 2025

Deleted

Provision Summary

NA. Sunset provision. The policy shifted from promoting non-urban areas to specific SEZs and manufacturing hubs.

Key Changes & Highlights

Phased out.

Frequently Asked Questions

What is Section 54G of the Income Tax Act, 1961 about?

Section 54G of the Income Tax Act, 1961 covers exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area. Exempted capital gains arising from the sale of machinery, plant, or building to shift an industrial unit from an urban to a non-urban area.

What happens to Section 54G in the Income-tax Act, 2025?

Section 54G has been deleted under the Income-tax Act, 2025, with no successor section carrying it forward from 1st April 2026. NA. Sunset provision. The policy shifted from promoting non-urban areas to specific SEZs and manufacturing hubs.

What is the impact of the change to Section 54G under the new tax code?

The transition impact for Section 54G is rated Medium. Historical reference for industrial relocations.

What should I watch out for when Section 54G moves to the 2025 code?

Phased out. These points are specific to Section 54G (Exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area).

Disclaimer: This mapping of Section 54G (Exemption of capital gains on transfer of assets in cases of shifting of industrial undertaking from urban area) under the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 54G is currently marked Deleted, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.

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