Section 28 → Section 29
Profits and gains of business or profession (Basis of Charge)
Quick Answer
Section 28 of the Income Tax Act, 1961 (Profits and gains of business or profession (Basis of Charge)) corresponds to Section 29 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective 1st April 2026. Status: Retained.
Sec 28
Provision Summary
Charging section for income from business/profession, export incentives, non-compete fees, and keyman insurance proceeds.
Sec 29
Provision Summary
Expanded. Value of any benefit or perquisite arising from business is now tightly linked with the new TDS provisions.
Key Changes & Highlights
- Digital content monetization (ad revenues, sponsorships) explicitly classified under PGBP.
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Frequently Asked Questions
What does Section 28 of the Income Tax Act 1961 deal with?
Section 28 (Profits and gains of business or profession (Basis of Charge)) Charging section for income from business/profession, export incentives, non-compete fees, and keyman insurance proceeds.
What is the new section number for Section 28 under the Direct Tax Code 2025?
Section 28 of the ITA 1961 maps to Section 29 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective from 1st April 2026.
What is the status of Section 28 under the new tax code?
Section 28 is marked as "Retained" with status "Modified". Impact: High - Defines the scope of commercial taxation.
What are the key changes to Section 28 under DTC 2025?
Digital content monetization (ad revenues, sponsorships) explicitly classified under PGBP.
Disclaimer: This page is for educational and reference purposes only. Section mappings are based on publicly available drafts and circulars. Always consult a qualified Chartered Accountant before filing or making compliance decisions under the Direct Tax Code 2025.
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