Major Relief in Tax on Unexplained Income: From Heavy Tax to a Balanced Approach

Chaitra Seetharam , Last updated: 03 April 2026  
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The Finance Bill, 2026, introduces a major reform to India's taxation of unexplained income, replacing the punitive 60% flat tax, which effectively rose to around 78% after including surcharge and cess, with a more nuanced, compliance oriented framework. Unlike the previous rigid regime, the new str

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