What this means
Section 2 of IT Act 1961 (master definitions) maps to Section 2 of IT Act 2025. Several definitions are reorganised: 'Assessment Year' and 'Previous Year' are replaced by 'Tax Year' (§2(101)); 'Person' definition carries forward. Verify on the income-tax portal before filing.
Change type — Rules substantively changed
This section has been substantively changed in the IT Act 2025. Rates, thresholds, or conditions may differ from the old provision. Verify the new section carefully before applying to Tax Year 2026-27 onwards.
Effective date
This change takes effect from 1 April 2026 (Tax Year 2026-27 onwards). For income earned before 1 April 2026, the old Section 2 continues to apply under the transitional provisions of Section 536 of the IT Act 2025. Returns for FY 2025-26 (AY 2026-27) are filed under the IT Act 1961 — old section numbers apply.
Frequently asked questions
Where did Section 2 go in the Income Tax Act 2025?▾
Section 2 of the IT Act 1961 maps to 2 in the IT Act 2025, effective 1 April 2026. Section 2 of IT Act 1961 (master definitions) maps to Section 2 of IT Act 2025. Several definitions are reorganised: 'Assessment Year' and 'Previous Year' are replaced by 'Tax Year' (§2(101)); 'Person' definition carries forward. Verify on the income-tax portal before filing.
Does Section 2 still apply for FY 2025-26 (AY 2026-27)?▾
Yes. For income earned in FY 2025-26 (April 2025 to March 2026), the IT Act 1961 continues to apply — including Section 2. The IT Act 2025 (and its new section numbering) applies from Tax Year 2026-27 (income earned on or after 1 April 2026). Verify on the income-tax portal before filing.
What is the new section number for 2 in the IT Act 2025?▾
The new corresponding provision is 2 under the Income Tax Act 2025. Change type: Rules substantively changed. This section has been substantively changed in the IT Act 2025. Rates, thresholds, or conditions may differ from the old provision. Verify the new section carefully before applying to Tax Year 2026-27 onwards. Verify on the income-tax portal before filing.