India's Tax System to Transform: New Income Tax Act 2025 from April 2026

• The Income Tax Act 2025 will replace the 1961 law from April 1, 2026, aiming for clearer rules and simpler procedures.
• Taxpayers will experience changes in filing methods, forms, and documents, with increased use of technology and automation.
• The government will use the NUDGE concept to guide taxpayers non-intrusively towards compliance.
• Taxpayers should monitor official notifications, organize financial documents, and consider consulting a tax advisor.
• The new law simplifies language and procedures to streamline tax administration without altering tax rates.

Why It Matters: India's tax system is undergoing a major overhaul with the Income Tax Act 2025, simplifying compliance.