Chapter XIX

Section 390 is the substantive equivalent of 1961 s. 190 -- the foundational charging provision establishing that INCOME TAX shall be PAYABLE by way of: (a) DEDUCTION OR COLLECTION AT SOURCE; OR (b) ADVANCE PAYMENT (advance tax…

Section 391 of the Income-tax Act, 2025 is the substantive equivalent of section 191 of the Income-tax Act, 1961. It establishes the residual rule that where TDS has not been deducted (or where an income falls outside the deduction net),…

Section 392 of the Income-tax Act, 2025 corresponds substantively to sections 192 and 192A of the Income-tax Act, 1961. It is the cornerstone TDS provision for employer-employee remuneration, accommodating the dual-regime architecture…

Section 393 is the MASTER TDS PROVISION consolidating 1961 ss. 192-196D into a single comprehensive section with extensive Tables. THE LARGEST SECTION IN THE ENTIRE ACT (~80K bytes verbatim). Covers ALL TDS categories: SALARY (192);…

Section 394 is the substantive equivalent of 1961 s. 206 C -- the TAX COLLECTED AT SOURCE (TCS) framework targeting SELLER-SIDE collection on specified goods / services. The provision establishes that SELLER must COLLECT specified…

Section 395 of the Income-tax Act, 2025 corresponds substantively to sections 197 (lower deduction certificate), 197A (declaration in Forms 15G/15H/15CA-CB) and the related certificate-issuance framework of the 1961 Act. It permits a…

Section 396 of the Income-tax Act, 2025 is the substantive equivalent of section 198 of the Income-tax Act, 1961. It establishes the foundational principle that for purposes of computing the income of the assessee, tax deducted at source…

Section 397 of the Income-tax Act, 2025 consolidates the compliance and reporting framework that, under the 1961 Act, was distributed across sections 200(3) (quarterly statements), 203 (TDS certificates), 203A (TAN), 203AA (Form 26AS),…

Section 398 of the Income-tax Act, 2025 consolidates the consequences regime that, under the 1961 Act, was distributed across sections 201 (assessee in default), 201(1A) (interest), 206C(6)/(7) (TCS default), and 234E (late filing fee).…

Section 399 of the Income-tax Act, 2025 is the substantive equivalent of section 200 A (TDS) and section 206 CB (TCS) of the Income-tax Act, 1961. It establishes the centralised processing mechanism for quarterly TDS/TCS statements at the…

Section 400 of the Income-tax Act, 2025 is the substantive equivalent of section 197 A(1F) and the power to issue notifications under sections 192 to 196D / 206C of the 1961 Act. It empowers the Central Government to notify, by…

Section 401 of the Income-tax Act, 2025 is the substantive equivalent of section 205 of the Income-tax Act, 1961. It bars the Revenue from raising direct demand on an assessee for tax which has already been deducted at source by the…

Section 402 of the Income-tax Act, 2025 is the consolidated definitional provision for Chapter XIX (TDS / TCS Sub-Chapter). Under the 1961 Act, definitions were scattered across Explanations to ss. 192, 193, 194, 194A, 194B, 194C, 194D,…

Section 403 of the Income-tax Act, 2025 corresponds to s. 207 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Section 403 establishes the liability…

Section 404 of the Income-tax Act, 2025 corresponds to s. 208 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Section 404 specifies the conditional…

Section 405 of the Income-tax Act, 2025 corresponds to s. 209 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Computation rule: estimated total income…

Section 406 of the Income-tax Act, 2025 corresponds to s. 210 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Self-assessment mechanism: assessee…

Section 407 of the Income-tax Act, 2025 corresponds to s. 210(3) /(4) (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Where AO has reason to believe that…

Section 408 of the Income-tax Act, 2025 corresponds to s. 211 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Instalment schedule -- non-presumptive…

Section 409 of the Income-tax Act, 2025 corresponds to s. 218 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Where assessee fails to pay any instalment…

Section 410 of the Income-tax Act, 2025 corresponds to s. 219 (FA 1987) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Advance tax paid is treated as tax paid;…

Section 411 of the Income-tax Act, 2025 corresponds to s. 218 / 220 (procedural) of the Income-tax Act, 1961, restated within the consolidated advance tax framework of Chapter XIX. STATUTORY ARCHITECTURE Procedural framework for AO to…

Section 412 of the Income-tax Act, 2025 corresponds to s. 220 (FA 1987) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Section 412 establishes the timeline of demand. Tax raised by demand notice ( s. 156 ) is payable within 30 days…

Section 413 of the Income-tax Act, 2025 corresponds to s. 221 (FA 1987) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Where assessee is in default in payment of tax, AO may impose penalty up to the amount of tax in arrears.…

Section 414 of the Income-tax Act, 2025 corresponds to s. 226 (FA 1987) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Recovery modes: (a) attachment of debts / s. 226(3) garnishee notice on banks/debtors; (b) sale of movable /…

Section 415 of the Income-tax Act, 2025 corresponds to s. 222 / Sch II (Income-tax Rules) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE TRO is empowered to draw up certificate of tax due and recover via Schedule II procedures: (a)…

Section 416 of the Income-tax Act, 2025 corresponds to s. 222(1) / s. 226 (consolidated) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Detailed enumeration of recovery modes -- 88 lines in statutory text. Includes attachment,…

Section 417 of the Income-tax Act, 2025 corresponds to s. 227 of the Income-tax Act, 1961. STATUTORY ARCHITECTURE TRO may forward certificate to State Collector (or equivalent) for recovery as arrears of land revenue. Useful where State…

Section 418 of the Income-tax Act, 2025 corresponds to s. 232 of the Income-tax Act, 1961. STATUTORY ARCHITECTURE AO may recover tax through Civil Court suit in addition to (not in lieu of) recovery under s. 415 / 416. Suit filed under…

Section 419 of the Income-tax Act, 2025 corresponds to s. 228 A of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Recovery from / for foreign jurisdiction under DTAA mutual assistance article. India has entered into mutual collection…

Section 420 of the Income-tax Act, 2025 corresponds to s. 230 (FA 1959) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Persons leaving India may be required to obtain tax clearance certificate under specified circumstances.…

Section 421 of the Income-tax Act, 2025 corresponds to s. 226(3) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Garnishee notice mechanism. AO/TRO directs banks, debtors, employers, tenants holding money for the defaulter to remit it…

Section 422 of the Income-tax Act, 2025 corresponds to s. 179 of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Director / manager of a private company in liquidation is jointly and severally liable for tax dues unless he proves…

Section 423 of the Income-tax Act, 2025 corresponds to s. 234 A (FA 1989 from 1-4-1989) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Interest at 1% per month (or part of month) from due date u/s 139(1) [ s. 263 of 2025] to date of…

Section 424 of the Income-tax Act, 2025 corresponds to s. 234 B of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Interest at 1% per month (or part of month) where: (a) advance tax paid is < 90% of assessed tax, OR (b) no advance tax…

Section 425 of the Income-tax Act, 2025 corresponds to s. 234 C of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Interest for shortfall in instalments: 1% per month for 3 months (or 1 month for last instalment). Default benchmarks: 15%…

Section 426 of the Income-tax Act, 2025 corresponds to s. 234 D of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Where refund granted u/s 143(1) is found excess on regular assessment ( s. 143(3) ), interest at 0.5% per month from date…

Section 427 of the Income-tax Act, 2025 corresponds to s. 234 F (FA 2017) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Fee of INR 5,000 for late filing (after 31-Jul); INR 1,000 if total income < INR 5L. Levied automatically on…

Section 428 of the Income-tax Act, 2025 corresponds to s. 234 E of the Income-tax Act, 1961. STATUTORY ARCHITECTURE INR 200 per day for delay in filing TDS/TCS quarterly statements, capped at amount of TDS/TCS for that quarter. Mandatory;…

Section 429 of the Income-tax Act, 2025 corresponds to Penalty regime under s. 271 FA / 271K of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Fees for failure to furnish statements like SFT ( s. 285 BA), accountant's report under…

Section 430 of the Income-tax Act, 2025 corresponds to s. 234 H (FA 2021) of the Income-tax Act, 1961. STATUTORY ARCHITECTURE Fee up to INR 1,000 for failure to link PAN with Aadhaar by prescribed date. PAN becomes inoperative if not…