Which IT Act applies to us?

Income Tax Act
1

We’re closing our books for FY 2025-26 and also planning for Tax Year 2026-27. Which Income-tax Act applies to each?

2

It depends on the year, not the date you file.

  • FY 2025-26 (AY 2026-27) is governed by the Income-tax Act, 1961.
  • Income from 1 April 2026 onward is governed by the Income-tax Act, 2025.

Always identify the year first. The filing date alone does not decide which law applies.

Source: Income-tax Act, 2025 - section 536; Income Tax Department transition guidance.