New Income Tax Act
A new Income Tax Act went live April 1, rewriting salary structure, HRA/allowances, standard deductions and capital‑gains reporting while adding new PAN requirements—early reports show some workers will see higher take‑home pay and others larger deductions. The overhaul is already being pitched as a natural outreach hook for personalized paystub and retirement‑withdrawal reviews. ( )
Draft Rule 6 of the Income‑tax Rules, 2026 now prescribes the method for computing the period of holding for capital assets — a change that will force retirement‑bound investors to recheck acquisition dates when modelling LTCG on pre‑retirement withdrawals. (taxguru.in)) India’s HRA framework has been expanded so Bengaluru, Hyderabad, Pune and Ahmedabad join Mumbai, Delhi, Kolkata and Chennai in the 50% HRA metro category, a shift Quicko estimates could put around ₹15,000–₹70,000 more a year in affected employees’ pockets depending on salary and rent. (economictimes.indiatimes.com)) The labour‑code driven push that requires basic pay to be at least 50% of total remuneration will raise employer/employee Provident Fund and gratuity contributions and change net take‑home calculations for younger families on payrolls. (jagranjosh.com)) The Income‑tax Rules, 2026 replace PAN application Forms 49A/49AA with four new forms (93–96) and tighten Aadhaar‑linked PAN procedures under Rule 158, creating an immediate compliance need for small businesses and payroll vendors ahead of the April 1 effective date. (taxguru.in)) Form 16 is being replaced by a redesigned employer statement (reported as Form 130) and the new ITR/ITR‑related forms are being auto‑filled under the notified rules, which means accounting firms and payroll processors will be primary referral sources for clients seeking payroll‑to‑retirement tax reviews. (financialexpress.com)) Draft Rules 10–11 set asset‑specific fair‑market‑value and valuation methods for capital‑gains calculations and KPMG notes that those valuation changes plus attribution rules will materially affect cross‑border investors and portfolio tax planning for high‑net‑worth clients. (in.fintaxblog.com))
