Major tax reforms kick in from April 2026

Business Jan 05, 2026

Big changes are coming to India's income tax system starting April 2026, with the new Income Tax Act, 2025 replacing the old rules.
The government says it'll be simpler and more digital—think fewer tax notices, faster refunds, and way less paperwork.

What else is changing?

If you're earning up to ₹12 lakh, you still won't pay income tax—but deductions for savings plans are going away.
GST rates will mostly stay the same as the revamped system finishes its first year.
Customs duties are getting a digital upgrade too, making life easier for importers and exporters (and possibly lowering prices on electronics), though tobacco will stay pricey due to high taxes and cess.