08-February-2026
Taxation
 
Pay reduced tax at 39% rate on unexplained income compared to 78% earlier, with close eye on penalty, Budget 2026 announcement?
07-Feb-2026

According to the Income Tax Act, 1961 (Old Act), the Income Tax Act, 2025 (New Act), and the Finance Bill 2026, there is a significant cut in the tax rate for unexplained income and investments. The Finance Bill 2026 proposes to rationalise the tax rate on such income under the new Act to 30%, down from the 60% prevalent under the Old Act and the unamended New Act.

News Source:- https://economictimes.indiatimes.com/wealth/tax/pay-reduced-tax-at-39-rate-on-unexplained-income-compared-to-78-earlier-with-close-eye-on-penalty-budget-2026-announcement/articleshow/127991258.cms
 
 
 

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