Direct Taxation

June 2026

Introduction

by Anjali Darak

Manager - Direct Tax

With the increasing globalization of businesses and workforce mobility, cross‑border income has become common. In such cases, the same income may be taxed in both India and the taxpayer’s country of residence. The Income‑Tax Act, 2025, which comes into force from 1 April 2026, replaces the old Income‑Tax Act, 1961. While the new law broadly preserves India’s treaty framework, it introduces procedural changes and new compliance requirements for claiming DTAA benefits, most notably the replacement of Form 10F with Form 41 for non‑residents

Coming to this month’s Taxation Times, here’s what we have:

An article on Claiming DTAA Relief in India: A Guide under the Income‑Tax Act, 2025.
Case Laws from various courts & jurisdictions.
Tax Compliance Calendar – May 2026
Circulars & Notifications – May 2026
Tax News from around the world

We hope that you find this month’s edition of the Taxation Times useful. In case you have any feedback or need us to include any information to make this issue more informative, please feel free to write to us at info@uja.in

Happy Reading!

Best Regards,

UJA Tax Team

Expatriate Taxation in India: A Comprehensive Overview

In an increasingly globalized economy, the mobility of skilled professionals across borders has become a defining feature of modern business. Multinational enterprises routinely deploy employees across jurisdictions, giving rise to the concept of expatriates—individuals working outside their country of residence. In the Indian context, expatriates may either be inbound (foreign nationals working in India) or outbound (Indian residents working abroad). The taxation of such individuals presents unique challenges due to the interplay between domestic tax laws and international tax treaties.
The Indian tax system, primarily governed by the Income-tax Act, 2025 adopts a source and residence based approach. Therefore, the taxation of expatriates hinges significantly on their residential status, the source of income and applicable Double Taxation Avoidance Agreements (DTAAs).

Residential Status and Scope of Taxation

The determination of residential status is central to expatriate taxation in India. An individual may be classified as:

Resident and Ordinarily Resident (ROR)
Resident but Not Ordinarily Resident (RNOR)
Non-Resident (NR)

This classification is based primarily on physical presence in India during the financial year and preceding years

The tax implications vary accordingly:

ROR individuals are taxed on global income
NRs are taxed only on income received or accruing in India
RNORs are taxed similarly to NRs, with limited exceptions

Thus, accurate determination of residential status is critical, especially for expatriates who frequently move across borders

Taxation of Salary Income

Salary constitutes the primary source of income for expatriates and is taxed based on where services are rendered. Under Indian law, salary for services performed in India is taxable in India irrespective of where the payment is made or received.

The definition of salary is comprehensive and includes:

Basic salary and wages
Allowances (e.g., house rent allowance, relocation allowance)
Perquisites (e.g., accommodation, car, stock options)
Retirement benefits and bonuses

Perquisites and Special Components

Expatriate compensation structures often include additional benefits:

Housing and relocation benefits
Employee Stock Options Plan (ESOPs), taxed on fair market value at exercise
Daily allowances/per diem, partially exempt in certain cases

Such components require careful valuation and compliance with prescribed tax rules.

Double Taxation and Role of Tax Treaties

Cross-border employment can result in the same income being taxed in multiple jurisdictions. To address this, India has entered into DTAAs with over 90 countries.

These treaties provide relief through:

Exemption method (income taxed in only one country)
Tax credit method (credit for taxes paid abroad)
Reduced tax rates or special provisions

One of the most significant benefits for expatriates is the short-stay exemption, typically available if:

Stay in India does not exceed 183 days
Salary is paid by a non-resident employer
Cost is not borne by an Indian entity

To claim treaty benefits, expatriates must obtain a Tax Residency Certificate (TRC) and comply with procedural requirements such as filing Form 41 (easier 10F).

Social Security and Regulatory Aspects

Apart from income tax, expatriates must also navigate social security obligations. In India, the Employees’ Provident Fund (EPF) provisions require:

12% contribution each from employer and employee
Applicability to “International Workers,” often without salary thresholds

However, exemptions may apply under Social Security Agreements (SSAs) through a Certificate of Coverage.

Additional regulatory considerations include:

Foreign Exchange Management Act (FEMA) compliance for salary remittance
Maintaining appropriate bank accounts (NRE/NRO/FCNR)
Adhering to immigration and visa requirements

Procedural Compliance

Expatriates must ensure strict compliance with Indian tax procedures:

Obtaining PAN (Permanent Account Number)
Withholding tax (TDS) by employer
Advance tax payments, if applicable

Non-compliance may result in penalties, interest and additional scrutiny.

Further, expatriates who qualify as ROR must disclose foreign assets and income under the Black Money Act, 2015, failing which severe penalties may apply.

Key Challenges and Practical Issues

Form 41 is not optional under the Income‑tax Act, 2025

Expatriate taxation involves several practical complexities:

Determination of economic employer in secondment arrangements
Potential Permanent Establishment (PE) risk
GST implications on cross-border cost allocations
Transfer pricing considerations for group transactions

Conclusion

Expatriate taxation in India is a multifaceted domain requiring a nuanced understanding of tax laws, treaty provisions and regulatory frameworks. With evolving global mobility patterns and frequent legislative changes, expatriates and employers must adopt a proactive approach to structuring assignments and ensuring compliance.

A comprehensive and well-planned tax strategy taking into account residential status, income structuring, treaty benefits and compliance requirements can significantly mitigate tax risks and enhance efficiency in cross-border employment arrangements.

Case Laws

MARCH 2026

[2026] 185 taxmann.com 451 (Mumbai - Trib.) IN THE ITAT MUMBAI BENCH 'H(SMC)' Bajirao Shankar Jagdale v. Income-tax Officer 10-04-2026

Fact :

The assessee, an employee of BSNL (under the Department of Telecommunications), received ex-gratia compensation under the BSNL Voluntary Retirement Scheme, 2019, introduced as part of a Government-approved revival plan for BSNL/MTNL offering VRS to employees aged 50 years and above. For assessment year 2020-21, the assessee offered the compensation to tax after claiming exemption of Rs. 5 lakhs under section 10(10C) and paid tax on the balance; no claim under section 10(10B) was made in the return.
The CPC issued an intimation under section 143(1) based on the return so filed; no exemption under section 10(10B) had been claimed before the CPC.
Before the Commissioner (Appeals), the assessee, for the first time, claimed that the entire compensation received under the BSNL VRS-2019 was capital in nature as retrenchment compensation exempt under section 10(10B). The Commissioner (Appeals) dismissed the appeal in limine due to the delay of 1,394 days in filing and did not entertain the new claim, holding it ought to have been made through a revised return.
On appeal to the Tribunal:

Held I:

It is an undisputed fact that the Commissioner (Appeals) has dismissed the appeal in limine on account of delay without adjudicating the issue on merits. The assessee had placed on record an explanation for the delay and the issue involved relates to a substantive claim of exemption, which has been consistently adjudicated in favour of similarly placed assessees by various Coordinate Benches of the Tribunal. Following the decisions of the Coordinate Benches, including the ITAT-Pune Bench in Rajendra Himmatrao Patil v. ITO (ITA Nos. 302 and 303 (Pun) of 2026, date of pronouncement 27.03.2026), Shraddha Pralhad Arote v. ITO (IT Appeal Nos. 261 and 262 (Pune) of 2026, dated 24-3-2026), Meghmala Sudhir Pathak v. ITO (IT Appeal Nos. 290 and 293 (Pune) of 2026, dated 27-3-2026), and the ITAT-Ahmedabad Bench in Jayesh Kumar Tulsidas Sutaria v. ITO ([2026] 183 taxmann.com 587 (Ahmedabad – Trib.)), the delay in filing the appeal before the Commissioner (Appeals) deserves to be condoned in the interest of substantial justice, particularly when the issue is covered in favour of the assessee and the delay is attributable to bona fide reasons, including reliance on professional advice. The Commissioner (Appeals) was not justified in dismissing the appeal solely on the ground of limitation without appreciating the merits of the claim and the settled legal position. On merits, following the consistent view taken by the Coordinate Benches, the compensation received by the assessee under the BSNL Voluntary Retirement Scheme, 2019 is in the nature of retrenchment compensation and is squarely covered under the provisions of section 10(10B). Accordingly, the same is to be treated as a capital receipt exempt from tax, and not merely eligible for a limited exemption under section 10(10C). The impugned order passed by the Commissioner (Appeals) is set aside. The delay in filing the appeal is condoned and the claim of the assessee is admitted. The Jurisdictional Assessing Officer (JAO) is directed to allow the exemption under section 10(10B) in respect of the compensation received under the BSNL VRS-2019 Scheme, subject to verification of necessary details. The assessee is also directed to file a revised computation of income before the JAO. Needless to say, the JAO shall grant due opportunity of hearing to the assessee and grant consequential relief, including refund, if any, in accordance with law. Accordingly, the grounds raised by the assessee are allowed. [Para 7]
In the result, the appeal of the assessee is allowed. [Para 8]
In Favour of: The assessee

[2026] 185 taxmann.com 409 (Jodhpur - Trib.) IN THE ITAT JODHPUR BENCH AS Ascent Welfare Society v. CIT Exemption 07-04-2026

Facts :

The assessee–trust/society applied for registration under section 12AB and approval under section 80G, stating that its primary object was to provide medical relief by establishing a hospital for economically weaker sections. It is submitted that preparatory activities, including acquisition of land and the construction of the hospital, had been undertaken, and that it had been providing medical help to poor persons.
The Commissioner (Exemption) rejected the application for registration under section 12AB on the ground that activities had not commenced, genuineness of activities could not be verified, and no supporting evidence/details were furnished to substantiate the claim of providing medical help; consequently, approval under section 80G was also denied.
On appeal to the Tribunal:

Held :

Admittedly, the appellant society’s objects are found to be charitable in nature and there was no adverse finding given by the Commissioner (Exemption) on the charitable object of the appellant trust. It is also undisputed on record that the activities proposed to be undertaken are directly aligned with the stated charitable objects of the appellant trust. On the date of application for registration under section 12AB, the construction of the hospital building was undertaken by the appellant trust with the preparatory activities including acquisition of land and development of infrastructure. At the stage of consideration of application under section 12AB(1)(b), the Commissioner (Exemption) is required to examine whether the objects are charitable in nature and whether the activities, if commenced, are genuine in the context of the objects of the trust and does not require that full scale of charitable activities must have commenced before the registration to be granted to a charitable trust. In the absence of any adverse observation of the Commissioner (Exemption) on the charitable objects of the trust and the genuineness of activities in consonance with the object of the trust, the mere objections of the Commissioner (Exemption) based on the presumption that whether the applicant has genuinely carried out charitable activities cannot be a valid ground for rejection of the appellant’s claim under section 12AB. [Para 8]
In the present case, the appellant’s object of providing medical relief by way of establishment of a hospital is not disputed by the Department, and hence the appellant society’s objects fall within the definition of charitable purpose under section 2(15). Further, the hospital is under construction and the activities proposed to be commenced are in line with the stated objects. [Para 10]
Following the Apex Court judgment in the case of Ananda Social & Educational Trust v. CIT [2020] 114 taxmann.com 693/272 Taxman 7/426 ITR 340 (SC), it is held that non-commencement of operation of a hospital (activities) cannot be a ground for refusal of registration under section 12AB. Therefore, the Commissioner (Exemption) is directed to grant registration to the appellant trust under section 12AB(1)(b) and consequential approval under section 80G to the appellant society. [Para 11]
Since the assessee gets relief in the above appeal, where direction has been given to the Commissioner (Exemption) to grant registration under section 12AB to the applicant assessee. Consequent to granting registration under section 12AB, the Commissioner (Exemption) may also grant approval under section 80G to the applicant trust. [Para 12]
The issues and facts in ITA No. 206 & 207/Jodh/2025 are exactly similar except for the charitable purpose, educational, to those discussed in ITA No. 197 & 198/Jodh/2025, therefore, the finding and observation given in ITA No. 197 & 198/Jodh/2025 regarding the registration under section 12AB and approval under section 80G shall apply to ITA Nos. 206 & 207/Jodh/2025 mutatis mutandis, ordered accordingly. [Para 13]
In Favour of: The Assessee

Circulars and Notifications May 2026

A. CIRCULARS / ORDERS

SECTION 262(4) OF INCOME-TAX ACT, 2025 READ WITH RULE 158(12) OF INCOME-TAX RULES, 2026 - RETURN OF INCOME - PERMANENT ACCOUNT NUMBER - ORDER FOR SPECIFYING FORMS AND PROCEDURES IN RELATION TO FURNISHING APPLICATION FOR PAN CORRECTION UNDER RULE 158(12) OF INCOME-TAX RULES, 2026 READ WITH SECTION 262(4) OF INCOME-TAX ACT, 2025
ORDER NO. F. NO. ADG(S)-1/PAN/M/3699/2026-AD-DD SYSTEMS 1-5 DELHI, DATED 1-4-2026

In exercise of the powers conferred by Rule 158(I2) of the Income-tax Rules, 2026, the Director General of Income-Tax (Systems), specifies the following Application Forms in respect of the correction of PAN along with related procedure and guidelines, as under:

PAN holders are required to fill the following Forms for Changes or corrections in PAN Data
1. PAN CR-0 I: Request for Changes or Correction in PAN Data [For an Individual]
2. PAN CR-02: Request For Changes or Correction in PAN Data [For Non-Individual]

The PDF format of the Forms for Changes or Correction in PAN Data, along with the related guidelines, is attached at Annexure-1.
The Forms can be submitted physically in the PAN Centres of Mis UTUTSL/ Mis Protean eGov or online through their websites.

This order shall apply with effect from 0 1.04.2026.

INCOME-TAX (SECOND AMENDMENT) RULES, 2026 - AMENDMENT IN RULE 12 AND SUBSTITUTION OF FORM ITR-1 AND FORM ITR-4 - CORRIGENDUM TO NOTIFICATION G.S.R. 226(E) [NO. 45/2026/F. NO. 370142/5/2026-TPL], DATED 30-3-2026
NOTIFICATION G.S.R. 262(E) [NO. 57/2026/F. NO. 370 142/5/2026-TPL], DATED 10-4-2026

In the notification of the Government of India, Ministry of Finance, Department of Revenue (Central Board of Direct Taxes), published in the Gazette of India, Extraordinary, Part II, Section 3, sub-section (i), vide number G.S.R. 226(E), dated 30th March, 2026:

At page number 19, in Form ITR-1, for Schedule-IT, the following Schedule-IT shall be substituted, namely,

Schedule-IT Details of Advance Tax and Self-Assessment Tax payments

BSR Code

Date of Deposit

Serial Number of Challan

Tax paid

Col(1)

Col(2)

Col(3)

Col(4)

At page number 21, in Form ITR-4, in Part B (Gross Total Income), under Schedule Salary, in row B2, after sub-row (ii), sub-row (ii) shall be renumbered as sub-row (iii);
At page number 21, in Form ITR-4, in Part B, in row B2, in sub-row (iv), in item-a, for the letters “Iva”, the letters “iva” shall be substituted.

B. Press Release

INCOME-TAX ACT, 2025 COMES INTO FORCE FROM 1-4-2026
PRESS RELEASE, DATED 1-4-2026

The Income-tax Act, 2025, a landmark reform in India’s direct tax framework, represents a comprehensive effort to simplify and modernise the country’s income-tax law, replacing the six-decade-old Income-tax Act, 1961. It marks a shift towards greater clarity and ease of compliance through simple language, a streamlined structure and a reader-friendly presentation, without altering the underlying tax policy.

The Bill was passed by the Parliament on 12th August, 2025, and received the assent of the Hon’ble President of India on 21st August, 2025, thereby becoming the Income-tax Act, 2025. (Gazette Notification – Income-tax Act, 2025)

The Income-tax Rules, 2026 were notified by the Central Board of Direct Taxes on 20th March, 2026 to operationalise the provisions of the new Act. (Gazette Notification – Income-tax Rules, 2026).

The corresponding new Forms have also been notified. The Forms have been simplified, standardized and process re-engineered to make compliance simpler.

With its coming into force from 1st April, 2026, the Income-tax Act, 2025 marks a new chapter in India’s tax administration and an important step towards Viksit Bharat.

From 1 April, 2026, the Income-Tax Act, 2025 comes into force, ushering in a simpler, clearer and more reader-friendly direct tax framework.
With new Rules and simplified Forms already notified, today marks a new chapter in India’s direct tax administration and an important.

B. Notifications

SECTION 90 OF THE INCOME-TAX ACT, 1961 - DOUBLE TAXATION AGREEMENT – ENFORCEMENT OF MOU BETWEEN REPUBLIC OF INDIA AND THE GOVERNMENT OF JAPAN FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME

Whereas, the Memorandum of Understanding for Assistance in Collection of taxes, as the Mode of Application of Article 26A of the Convention between the Government of the Republic of India and the Government of Japan for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, was signed at Tokyo on the 30th June, 2025 and at New Delhi on the 8th July, 2025 as set out in the Annexure appended to this notification (hereinafter referred to as the said Memorandum);

And whereas paragraph 21 of the said Memorandum provides that the provisions of the said Memorandum shall apply in respect of any request for collection of taxes made after the later of the dates of signature by two competent authorities;

And whereas, the date of entry into force of the said Memorandum being the date of signature in India, which is the later of the dates of signature of the two competent authorities, that is, the 8th day of July, 2025, the said Memorandum shall have effect in India in respect of any request for collection of taxes made after the 8th July, 2025;

Now, therefore, in exercise of the powers conferred by sub-section (1) of section 90 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies that all the provisions of the said Memorandum of Understanding as set out in the Annexure here to, shall be given effect to in the Union of India.

NOTIFICATION S.O. 1715(E) [NO. 56/2026/F. NO. 500/22/2022-FT&TR-V], DATED 2-4-2026

INCOME-TAX (THIRD AMENDMENT) RULES, 2026 - SUBSTITUTION OF FORM ITR-2 - CORRIGENDUM TO NOTIFICATION G.S.R. 227(E) [NO. 46/2026/F.NO. 370142/6/2026-TPL], DATED 30-3-2026

(i), vide number G.S.R. 227(E), dated 30th March, 2026:–

(i)	At page number 46, in row B(5)(e) of schedule CG, for figures and letters “6c – 6d”, figures and letters “5c – 5d” shall be substituted;
(ii)	At page number 49, in schedule-CG, in the marginal heading of row E, words and figures “B12a” shall be substituted by words and figures “B11a”;
(iii)	At page number 50, in schedule-CG, in table F grey colour of the blank cells shall be removed;
(iv)	At page number 50, in schedule-112A, column (1b) shall be omitted;
(v)	At page number 51, in schedule-115AD(1)(b)(iii) proviso, column (1b) shall be omitted;
(vi)	At page number 53, in schedule OS, in row 2(d), for the words “dxx”, the words “dxxi” shall be substituted;
(vii)	At page number 55, in schedule OS, in row 10(3b), the grey colour of the blank cells under column “upto 15/6” and “from 16/6 to 15/9” shall be removed;
(viii)	At page number 58, row xi of schedule CFL, for the figures and letters “2xv”, figures and letters “2xiv” shall be substituted;
(ix)	At page number 68, row 11 of part B-TI, for the letter “w”, letter “v” shall be substituted;

NOTIFICATION G.S.R. 263(E) [NO. 58/2026/F. NO. 370142/6/2026-TPL], DATED 10-4-2026

INCOME-TAX (NINTH AMENDMENT) RULES, 2026 - INSERTION OF FORM ITR-U - CORRIGENDUM TO NOTIFICATION NO. G.S.R. 233(E) [NO. 52/2026/F.NO. 370142/13/2026-TPL], DATED 30-3-2026

(i) at page number 5, in Part a General Information, in row (A10) and the entries relating thereto, the words “Wrong heads of income chosen” shall be placed in a separate line following the words “Loss not reported correctly (In case of reduction of loss)”.

NOTIFICATION G.S.R. 268(E) [NO. 63/2026/F. NO. 370142/13/2026-TPL], DATED 10-4-2026
INCOME-TAX (SEVENTH AMENDMENT) RULES, 2026 - SUBSTITUTION OF FORM ITR-7 - CORRIGENDUM TO NOTIFICATION G.S.R. 231(E) [NO. 50/2026/F. NO. 370142/10/2026-TPL], DATED 30-3-2026

(i)	At page number 52, in schedule-I, greyed cells under columns (14) and (15) of row 2024-25 shall be interchanged with blank cells under columns (14) and (15) in row 2025-26;
(ii)	At page number 64, in schedule CG, row item A(4)(a)(i) and row item A(4)(a)(ii) shall be omitted;
(iii)	At page number 65, in schedule CG, under row A, for sub-row (8), the following sub-row shall be substituted, namely,

Pass Through Income/Loss in the nature of Short-Term Capital Gain, (Fill up schedule PTI) (A8a + A8b + A8c)

(iv)	At page number 68, in schedule-CG, under row B9, one sub-row ‘a’ shall be deleted;
(v)	At page number 70, in schedule-CG, in row E, letters and figures “B12a” shall be substituted with “B11a”;
(vi)	At page number 74, in schedule OS, in row 10(3b), the grey colour of the blank cells under column “upto 15/6” and “from 16/6 to 15/9” shall be removed;
(vii)	At page number 78, in schedule-CYLA, in Sl. No. xiv, greyed cells under (4) shall be interchanged with blank cells under column (5);
(viii)	At page number 87, in Part B-TI, in part B1, in row 12, for the figures and letters “(total of 2xv, 3xv and 4xv of Schedule CYLA)”, the figures and letters “(total of 2xiv, 3xiv and 4xiv of Schedule CYLA)” shall be substituted;
(ix)	At page number 89, in Part B-TI, in part B3, in row 8, for the figures and letters “(total of 2xv, 3xv and 4xv of Schedule CYLA)”, the figures and letters “(total of 2xiv, 3xiv and 4xiv of Schedule CYLA)” shall be substituted.

NOTIFICATION G.S.R. 267(E) [NO. 62/2026/F.NO. 370142/10/2026-TPL], DATED 10-4-2026

INCOME-TAX (SIXTH AMENDMENT) RULES, 2026 - SUBSTITUTION OF FORM ITR-6 - CORRIGENDUM TO NOTIFICATION G.S.R. 230(E) [NO. 49/2026/F. NO. 370142/9/2026-TPL], DATED 30-3-2026

(i)	At page number 100, in Part A – BS, in the vertical heading under column 1, the word “QUITY” shall be substituted by the word “EQUITY”;
(ii)	At page number 111, in Part A – P & L, after row 15, the words “DE” shall be substituted by the figure “16”;
(iii)	At page number 125, in schedule BP, in row 37, figures and letter “36 + 36x” shall be substituted with figures and letter “35 + 36x”;
(iv)	At page number 131, in schedule CG, under row A, for sub-row (8), the following sub-row shall be substituted, namely,

Pass Through Income/Loss in the nature of Short-Term Capital Gain, (Fill up schedule PTI) (A8a + A8b + A8c)

(v)	At page number 132, in schedule CG, row item B(4)(i) and row item B(4)(ii) shall be omitted;
(vi)	At page number 134, in schedule CG, in row B(A), words and figures “sl. no. 1aii”, shall be substituted with words and figures “sl. no. 1aiii”;
(vii)	At page number 135, in Schedule CG, in Part E, the words and letters “B12a” shall be substituted with words and letters “B11a”;
(viii)	At page number 136, in schedule-112A, column (1b) shall be omitted;
(ix)	At page number 136, in schedule-115AD(1)(b)(iii) proviso, column (1b) shall be omitted;
(x)	At page number 143, in Schedule UD, in row iv, under the columns (4) and (7), for the figures and letters “(3xvi of BFLA)” and “(4xvi of BFLA)”, the figures and letters “(3xv of BFLA)” and “(4xv of BFLA)” shall be substituted;
(xi)	At page number 152, in schedule MATC, for rows 5 and 6, the letters “xviii” shall be substituted with “xvii”.

NOTIFICATION G.S.R. 266(E) [NO. 61/2026/F. NO. 370142/9/2026-TPL], DATED 10-4-2026

INCOME-TAX (FIFTH AMENDMENT) RULES, 2026 - SUBSTITUTION OF FORM ITR-5 - CORRIGENDUM TO NOTIFICATION G.S.R. 229(E) [NO. 48/2026/F.NO. 370142/8/2026-TPL], DATED 30-3-2026

(i)	At page number 107, in Schedule CG, in row A8, for the words and letters “(A8a A8b + A8c)”, the words “(A8a + A8b + A8c)” shall be substituted;
(ii)	At page number 119, in Schedule UD, in row v, under the columns (4) and (7), for the figures and letters “(3xvi of BFLA)” and “(4xvi of BFLA)”, the figures and letters “(3xv of BFLA)” and “(4xv of BFLA)” shall be substituted.

NOTIFICATION G.S.R. 265(E) [NO. 60/2026/F. NO. 370142/8/2026-TPL], DATED 10-4-2026

INCOME-TAX (FOURTH AMENDMENT) RULES, 2026 - SUBSTITUTION OF FORM ITR-3 - CORRIGENDUM TO NOTIFICATION G.S.R. 228(E) [NO. 47/2026/F.NO. 370142/7/2026-TPL], DATED 30-3-2026

(i)	At page number 104, in Schedule CG, in Part B, in row 9, in sub-row a(iii), for the words and letters “i. Total (ic + ii)”, the words and letters “Total (ic + ii)” shall be substituted;
(ii)	At page number 106, in Schedule CG, in Part E, the words and letters “B13a” shall be substituted for “B12a”;
(iii)	At page number 113, in schedule OS, in row 10(3b), the grey colour of the blank cells under column “upto 15/6” and “from 16/6 to 15/9” shall be removed.

NOTIFICATION G.S.R. 264(E) [NO. 59/2026/F. NO. 370142/7/2026-TPL], DATED 10-4-2026

Tax Calendar May 2026

07th May 2026

Securities Transaction Tax / Commodities Transaction Tax: Securities Transaction Tax – Due date for deposit of tax collected for April, 2026.
Securities Transaction Tax / Commodities Transaction Tax: Commodities Transaction Tax – Due date for deposit of tax collected for April, 2026.

15th May 2026

Due date for issue of TDS Certificate for tax deducted under section 194S/194-IA/194-IB/194M in March 2026.
Form 27EQ: Quarterly statement of TCS deposited for the quarter ending March 31, 2026.

30th May 2026

Quarterly TCS certificate in respect of tax collected by any person for the quarter ending March 31st, 2026.

31st May 2026

Form 9A:
Application for exercise of option under clause (2) of the Explanation to sub-section (1) of section 11 of the Income-Tax Act, 1961 (if the assessee is required to submit a return of income on or before July 31, 2026).
Form 24Q/26Q/27Q:
Quarterly statement of TDS deposited for the quarter ending March 31, 2026.
Form 61A/B:
Due date for furnishing of statement of financial transaction (in Form No. 61A/61B) as required to be furnished under subsection (1) of section 285BA of the Act, with respect to the Financial Year 2025-26.
Form 10BD: Statement of particulars to be filed by the reporting person under clause (viii) of sub-section (5) of section 80G and clause (i) to sub-section (1A) of section 35 of the Income-tax Act, 1961 for the Financial Year 2025-2026.
Form 10BE:
Certificate of donation under clause (ix) of sub-section (5) of section 80G and under clause (ii) to sub-section (1A) of section 35 for the Financial Year 2025-2026.
Form 10:
Statement to be furnished to the Assessing Officer/Prescribed Authority under clause (a) of the Explanation 3 to the third proviso to clause (23C) of section 10 or under clause (a) of sub-section (2) of section 11 of the Income-tax Act, 1961 (if the assessee is required to submit a return of income on July 31, 2026).

Tax News from Around the World

OECD / Global Developments – BEPS 2.0 and Global Minimum Tax

Countries continued aligning domestic laws with the OECD Pillar Two SbS Package, introducing new safe harbours (SbS, Simplified ETR, and Substance‑Based Incentive Safe Harbours) effective for FYs beginning on or after 1 Jan 2026.

Significant April activity included legislative amendments and guidance in EU and non‑EU jurisdictions.

Making Tax Digital (MTD) for Income Tax Goes Live

From 6 April 2026, self‑employed individuals and landlords with income above £50,000 must maintain digital records and submit quarterly updates to HMRC.

New tax year, new rules: what’s changing this April | Chartered Institute of Taxation

Belgium: Capital Gains Tax

Effective April 3, 2026, Belgium introduced a 33% flat tax on specific capital gains from financial assets realized since January 1, 2026. The tax targets gains from share transfers, excluding those within the “normal management of private estate,” and generally exempts historical gains.