Income Tax Act 2025: Section 285 for Tax Year 2025-26

Tax under Sec 285(1) is charged as if income wasn’t missed. Sec 285(2) lets AO drop proceedings if tax was rightly assessed. Sec 285(3) bars reopening settled cases.

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Other provisions

[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]

Section 285(1) of Income Tax Act 2025

(1) In an assessment, reassessment or recomputation made under section 279, the tax shall be chargeable at the rate or rates at which it would have been charged had the income not escaped assessment.

Section 285(2) of Income Tax Act 2025

(2) The Assessing Officer may drop the proceedings initiated under section 279 on a claim made by the assessee to the effect that—

(a) he had been assessed on an amount not lower than what he would be rightly liable for, even if the income alleged to have escaped assessment had been taken into account, or the assessment or computation had been properly made; and

(b) he has not impugned any part of the original assessment order for the relevant year under section 356 or 357 or 378.

Section 285(3) of Income Tax Act 2025

(3) Where a claim has been made by an assessee under sub-section (2), he shall not be entitled to reopen matters concluded by an order under section 287 or 288 or 365(10) or 368 or 377.


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