Section 9 → Section 9
Income deemed to accrue or arise in India
Quick Answer
Section 9 of the Income Tax Act, 1961 (Income deemed to accrue or arise in India) corresponds to Section 9 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective 1st April 2026. Status: Retained.
Sec 9
Provision Summary
Taxes income connected to an Indian business connection, property in India, or royalty/FTS paid by an Indian resident.
Sec 9
Provision Summary
Significantly updated to cover Significant Economic Presence (SEP) for digital companies operating in India without a physical office.
Key Changes & Highlights
- Digital user thresholds defined tightly to tax foreign tech giants.
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Frequently Asked Questions
What does Section 9 of the Income Tax Act 1961 deal with?
Section 9 (Income deemed to accrue or arise in India) Taxes income connected to an Indian business connection, property in India, or royalty/FTS paid by an Indian resident.
What is the new section number for Section 9 under the Direct Tax Code 2025?
Section 9 of the ITA 1961 maps to Section 9 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective from 1st April 2026.
What is the status of Section 9 under the new tax code?
Section 9 is marked as "Retained" with status "Modified". Impact: Critical - The core of India's International Taxation framework.
What are the key changes to Section 9 under DTC 2025?
Digital user thresholds defined tightly to tax foreign tech giants.
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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