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The Income Tax Act 1961 was repealed under Section 536 of the new Act from April 1, 2026.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 2025Rebates and Reliefs

Section 88

Rebate on life insurance premia, contribution to provident fund, etc.

DeletedCritical - Historical marker for the biggest structural change in middle-class tax planning.

Quick Answer

Section 88 (Rebate on life insurance premia, contribution to provident fund, etc.) has been deleted under the Income-tax Act, 2025, effective 1st April 2026.

What changed for Section 88

In the 1961 statute, Section 88 deals with rebate on life insurance premia, contribution to provident fund, etc.. Provided a tax 'rebate' (a direct deduction from tax payable) of 20% on investments made in LIC, PF, PPF, etc., up to Rs. 1,00,000.

The Income-tax Act, 2025 does not retain Section 88: it is deleted with effect from 1st April 2026, so no equivalent section replaces it. NA. This section was abolished and completely replaced by Section 80C, which provides a deduction from 'Income' rather than a rebate from 'Tax'.

On the ground, changes to Section 88 carry a Critical impact. Historical marker for the biggest structural change in middle-class tax planning.

Old Law (ITA 1961)Ch: VIII

Sec 88

Provision Summary

Provided a tax 'rebate' (a direct deduction from tax payable) of 20% on investments made in LIC, PF, PPF, etc., up to Rs. 1,00,000.

Removed under ITA 2025

Deleted

Provision Summary

NA. This section was abolished and completely replaced by Section 80C, which provides a deduction from 'Income' rather than a rebate from 'Tax'.

Key Changes & Highlights

Shift from Tax Rebate method to Income Deduction method.

Related Sections

Section 80C

Frequently Asked Questions

What does Section 88 of the Income Tax Act 1961 deal with?

Section 88 of the Income Tax Act, 1961 covers rebate on life insurance premia, contribution to provident fund, etc.. Provided a tax 'rebate' (a direct deduction from tax payable) of 20% on investments made in LIC, PF, PPF, etc., up to Rs. 1,00,000.

Does Section 88 survive under the Income-tax Act, 2025?

Section 88 has been deleted under the Income-tax Act, 2025, with no successor section carrying it forward from 1st April 2026. NA. This section was abolished and completely replaced by Section 80C, which provides a deduction from 'Income' rather than a rebate from 'Tax'.

Why does the change to Section 88 matter for taxpayers?

The transition impact for Section 88 is rated Critical. Historical marker for the biggest structural change in middle-class tax planning.

What are the key changes to Section 88 under the Income-tax Act, 2025?

Shift from Tax Rebate method to Income Deduction method. These points are specific to Section 88 (Rebate on life insurance premia, contribution to provident fund, etc.).

Disclaimer: This mapping of Section 88 (Rebate on life insurance premia, contribution to provident fund, etc.) under the Income-tax Act, 2025 is for educational and reference purposes only, based on publicly available drafts and circulars. As Section 88 is currently marked Deleted, always confirm its treatment with a qualified Chartered Accountant before filing or making compliance decisions.

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