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Core Purpose

Amends Income-tax Rules, 1962 to incorporate provisions related to section 194N and introduce section 194T regarding payments to firm partners.

Detailed Summary

This notification from the Central Board of Direct Taxes introduces the Income-tax (Seventh Amendment) Rules, 2025, effective from the date of publication in the Official Gazette. The amendment modifies Appendix II of the Income-tax Rules, 1962. Specifically, it inserts '194T' after '194S' in the heading of Form No. 26Q and after '194N' in Form No. 27Q. Furthermore, in the annexures of both forms, a new entry for '194T' is added, defining it as 'Payment of salary, remuneration, commission, bonus or interest to a partner of a firm'. In Form 27Q, the existing entry for '195' concerning 'Other sums payable to a non-resident' is replaced with a revised row that includes both '195' and '194T' and their respective descriptions.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-27032025-262000 EXTRAORDINARY PART II-Section 3-Sub-section (i) PUBLISHED BY AUTHORITY No. 160] NEW DELHI, THURSDAY, MARCH 27, 2025/ CHAITRA 6, 1947 MINISTRY OF FINANCE (Department of Revenue) (CENTRAL BOARD OF DIRECT TAXES) NOTIFICATION New Delhi, the 27th March, 2025 G.S.R. 195(E). — In exercise of the powers conferred by section 295 read with section 194T 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 (Seventh Amendment) Rules, 2025. (2) They shall come into force on the date of their publication in Official Gazette. 2. In the Income-tax Rules, 1962, in Appendix II,— (A) in Form No. 26Q, — (i) in the heading, after the figures and letter "194S", the figures and letter "194T" shall be inserted; (ii) in the Annexure, in the Note no. 16, in the Table at the end, the following shall be inserted, namely :- +-------+---------------------------------------------------------------+------+ | 194T | Payment of salary, remuneration, commission, bonus or interest to a partner of firm | 94T"; | +-------+---------------------------------------------------------------+------+ (B) in Form No. 27Q,- (i) in the heading, after the figures and letter "194N", the figures and letter "194T” shall be inserted; (ii) in the Annexure, in the Note no. 13, in the table, for the row,- +-------+-------------------------------+-------+ | 195 | Other sums payable to a non-resident | 195"; | +-------+-------------------------------+-------+ the following rows shall be substituted, namely :- +-------+---------------------------------------------------------------+------+ | 194T | Payment of salary, remuneration, commission, bonus or interest to a partner of firm | 94T | +-------+---------------------------------------------------------------+------+ | 195 | Other sums payable to a non-resident | 195" | +-------+---------------------------------------------------------------+------+ [No. 22/2025/F. No. 370142/08/2025-TPL] ASHISH KUMAR AGRAWAL, Dy. Secy. Note: The principal rules were published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (ii), vide notification number S.O. 969 (E), dated the 27th March, 1962 and were last amended vide notification number G.S.R 193 (E), dated the 25th March, 2025.

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