CBDT updates Rule 128 on investment transfers and tax benefits
Business
Heads up: Starting April 1, 2026, the Central Board of Direct Taxes (CBDT) is updating its income tax rules.
The big change? Rule 128 is getting a makeover: this rule covers how income from investment transfers and tax benefits are handled.
Investments before April 1, 2017 included
Now, income arising from the transfer of investments made before April 1, 2017, will be included under the new rules.
Plus, if you set up any tax benefit arrangements linked to tax benefits obtained on or after April 1, 2017, those fall under stricter guidelines too (but old investments get a pass here).