Income-tax Twenty-fifth Amendment Rules, 2023

Last updated: 17 October 2023

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The Central Board of Direct Taxes has issued the Income-tax Twenty-fifth Amendment Rules, 2023. These new rules, which come into effect on 1st January 2024, introduce amendments to rule 37BB of the Income-tax Rules, 1962. The changes include provisions for remittances made by Units of an International Financial Services Centre and updates regarding the Principal Director General of Income-tax (Systems).

MINISTRY OF FINANCE
(DEPARTMENT OF REVENUE)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 16th October, 2023

G.S.R. 740(E).—In exercise of the powers conferred by sub-section (6) of section 195 read with section 295 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. Short title and commencement.– (1) These rules may be called the Income-tax Amendment (Twenty-fifth Amendment), Rules, 2023.

(2) They shall come into force with effect from the 1st day of January, 2024.

2. In the Income-tax Rules, 1962 (hereinafter referred to as the principal rules), in rule 37BB,–

(a) in sub-rule (3), after clause (i), the following clause shall be inserted, namely:-

“(ia) the remittance is made by a Unit of an International Financial Services Centre referred to in subsection (1A) of section 80LA; or”;

(b) in sub-rule (4),–

(I) in clause (i), after the words and brackets “Principal Director General of Income-tax (Systems)”, the words and brackets “or the Director General of Income-tax (Systems)” shall be inserted;

For full notification please refer to the attachment

FAQ :

These are new rules made by the Central Board of Direct Taxes to further amend the Income-tax Rules, 1962.

The Income-tax Twenty-fifth Amendment Rules, 2023, will come into force with effect from the 1st day of January, 2024.

Rule 37BB of the Income-tax Rules, 1962, is being amended.

A new clause (ia) is inserted into sub-rule (3) to include remittances made by a Unit of an International Financial Services Centre.

Yes, in sub-rule (4), the words 'or the Director General of Income-tax (Systems)' are being inserted after 'Principal Director General of Income-tax (Systems)'.