The Central Board of Direct Taxes (CBDT), under the Ministry of Finance, has notified the Income-tax (Twenty-Fourth Amendment) Rules, 2025 on August 21, 2025, making key changes to the Income-tax Rules, 1962.
According to the notification (G.S.R. 566(E)), the amendment specifically impacts Rule 21AIA, which deals with provisions relating to income of specified funds. The changes include:
- Omission of sub-rule (4) from Rule 21AIA.
- Revised Explanation: The term "specified fund" will now carry the same meaning as defined in sub-clause (i) of clause (c) of the Explanation to section 10(4D) of the Income-tax Act, 1961.
The notification was issued by Rohit Singh, Under Secretary, Tax Policy and Legislation, and comes into effect from the date of its publication in the Official Gazette.
This marks the 24th amendment to the Income-tax Rules in 2025, following the last amendment notified on August 20, 2025. The move is expected to bring greater clarity and alignment between the Income-tax Rules and the provisions of the Income-tax Act, particularly with regard to the definition and treatment of specified funds.
Official copy of the notification has been attached
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