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Core Purpose

Amends Income-tax Rules, 1962 through the Income-tax (Sixth Amendment) Rules, 2025, concerning transfer pricing and related provisions.

Detailed Summary

The notification issued by the Central Board of Direct Taxes enacts the Income-tax (Sixth Amendment) Rules, 2025, further amending the Income-tax Rules, 1962. Key amendments include: (1) Rule 10TA(b) is revised to include 'lithium ion batteries for use in electric or hybrid electric vehicles'. (2) In rule 10TD(2A), for specified serial numbers in the table, the term 'two' is substituted with 'three'. (3) Rule 10TD(3B) expands the assessment year scope to include assessment years 2025-26 and 2026-27. (4) Rule 10TE(2) is amended to insert 'for one assessment year' in the fourth proviso after 'rule 10TD'. These amendments pertain to rules governing computation of arm's length price and related aspects under income tax regulations.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-25032025-261944 EXTRAORDINARY PART II-Section 3-Sub-section (i) PUBLISHED BY AUTHORITY No. 158] NEW DELHI, TUESDAY, MARCH 25, 2025/CHAITRA 4, 1947 MINISTRY OF FINANCE (Department of Revenue) (CENTRAL BOARD OF DIRECT TAXES) NOTIFICATION New Delhi, the 25th March, 2025 No. 21/2025 INCOME-TAX G.S.R. 193(E). In exercise of the powers conferred by section 295 read with sub-section (2) of section 92CB of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:— 1. (1) These rules may be called the Income-tax (Sixth Amendment) Rules, 2025. (2) They shall come into force on the date of their publication in the Official Gazette. 2. In the Income-tax Rules, 1962,- (a) in rule 10TA, in clause (b),– I. in sub-clause (iii), at the end, the word “or” shall be inserted; II. after sub-clause (iii), the following sub-clause shall be inserted, namely:- "(iv) lithium ion batteries for use in electric or hybrid electric vehicles."; (b) in rule 10TD, — I. in sub-rule (2A), in the Table, - (A) in Sl.No. 1, in column number (3), in clause (ii), for the word "two", the word "three" shall be substituted; (B) in Sl.No. 2, in column number (3), in clause (ii), for the word "two", the word “three" shall be substituted; (C) in Sl.No. 3, in column number (3), in the opening portion, for the word "two", the word "three" shall be substituted; (D) in Sl.No. 7, in column number (3), for the word "two", the word “three” shall be substituted; (E) in Sl.No. 8, in column number (3), for the word "two", the word “three” shall be substituted; II. in sub-rule (3B), for the words and figures "assessment years 2020-21, 2021-22, 2022-23, 2023-24 and 2024-25", the words and figures "assessment years 2020-21, 2021-22, 2022-23, 2023-24, 2024- 25, 2025-26 and 2026-27" shall be substituted; (c) in rule 10TE, in sub-rule (2), in the fourth proviso, after the word, figures and letters "rule 10TD", the words "for one assessment year" shall be inserted. [F. No. 370142/6/2025-TPL] THAKUR SINGH MAPWAL, Director Note: The principal rules were published in the Gazette of India, Extraordinary, Part-II, section 3, sub-section (ii) vide number S.O. 969 (E) dated the 26th March, 1962 and were last amended vide notification number G.S.R. 145(E) dated the 24th February, 2025.

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