The Central Board of Direct Taxes (CBDT) on March 31, 2026, issued the Income-tax (Amendment) Rules, 2026, to further amend the Income-tax Rules, 2026.
The following has been stated namely: -
• Rule 128 which states “Relating to General Anti Avoidance Rule”
o For sub-rule (1)(d), the following shall be substituted, namely: -
“(d) any income accruing or arising to, or deemed to accrue or arise to, or received or deemed to be received by, any person from transfer of such investments which were made before the 1st April, 2017 by such person.”
o For sub-rule (2), the following sub-rule shall be substituted, namely: -
“(2) The provisions of Chapter XI shall apply to any arrangement, irrespective of the date on which it has been entered into, in respect of the tax benefit obtained from the arrangement on or after the 1st April, 2017, except for that income which accrues or arises to, or deemed to accrue or arise to, or is received or deemed to be received by, any person from transfer of such investments which were made before the 1st April, 2017 by such person.”
This shall come into force on April 01, 2026.
[Notification No. G.S.R. 241(E)]
