The Central Board of Direct Taxes (CBDT) has issued Notification No. 133/2025 dated August 18, 2025 introducing the Income-tax (Twenty Second Amendment) Rules, 2025. The amendment specifies new income thresholds under section 17 of the Income-tax Act, 1961.
Key highlights of the notification:
- A new Rule 3C has been inserted:
- For the purposes of clause (2)(iii)(c) of section 17, the prescribed income under the head “Salaries” shall be ₹4 lakh.
- A new Rule 3D has been inserted:
- For the purposes of clause (2)(vi) of the proviso to section 17, the prescribed gross total income shall be ₹8 lakh.
- The amendment came into force on August 18, 2025, upon publication in the Official Gazette.
The move is aimed at providing clarity on prescribed limits for salary and gross total income while determining certain tax provisions under section 17 of the Income-tax Act.
In exercise of the powers conferred by clause (2) of section 17 read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby makes the following rules further to amend the Income-tax Rules, 1962, namely: –
(1) These rules may be called the Income tax (Twenty Second Amendment) Rules, 2025.
(2) They shall come into force on the date of their publication in Official Gazette.
In the Income-tax Rules, 1962, after rule 3B, the following rules shall be inserted, namely: —
“3C. Salary income for the purposes of item (c) of sub-clause (iii) of clause (2) of section 17 of the Act.—
For the purposes of item (c) of sub-clause (iii) of clause (2) of section 17 of the Act, the prescribed income under the head “Salaries” shall be four lakh rupees.
3D. Gross total income for the purposes of clause (vi) of Proviso to clause (2) of section 17 of the Act.—
For the purposes of clause (vi) of Proviso to clause (2) of section 17 of the Act, the prescribed gross total income shall be eight lakh rupees.”.
The Notification can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2025/08/CBDT-Notification-No.-133_2025.pdf
